Omega Oil & Gas Extends 'Play-Defining' Campaign with Drilling at Canyon-4 Well

Omega Oil & Gas (ASX: OMA) has commenced drilling at the second well of its fully funded 2026/27 appraisal program in the emerging Taroom Trough within Queensland’s Bowen Basin.

The Canyon-4 well follows the drilling in August of Canyon-3, located eight kilometres to the north, which confirmed the company’s understanding of the continuous nature of the highly prospective, oil and gas-bearing Permian interval on the trough’s eastern flank.

Canyon-3 intersected a 526 metre-thick interval with 170m of aggregate net pay across six stacked, regionally correlatable reservoirs within the Canyon Sandstone primary target, 14% thicker and with 55% higher average porosity than in the equivalent interval at the Canyon-1 well.

Canyon-3 also identified an additional high-quality gas and condensate-bearing interval in the Lower Kianga Sandstone, which Omega has interpreted as a sixth regionally extensive reservoir layer across its acreage.

Testing Continuity and Quality

Drilling at Canyon-4 is evaluating a highly overpressured, stacked sequence of Permian oil and gas-bearing sandstone reservoir intervals, with the top of the Permian section expected at approximately 3,200m measured depth and 100m updip from Canyon-3.

Omega will test the continuity and quality of the Permian reservoir system and the hydrocarbon phase distribution within its potential commercial areas (PCAs), drilling with a deviation of 24 degrees to intersect a secondary target within an existing 3D seismic dataset.

Integration of Canyon-4 results with existing well and seismic data is expected to provide clear evidence of the presence and quality of the oil and gas-bearing Permian reservoir interval over an area of 400 square kilometres within PCA 342 and PCA 343, which cover 1,056 sq km of ATP 2037 and ATP 2038.

A comprehensive suite of wireline logs will be acquired on vertical wells in the program — each of which is expected to take 30 days to complete — to support Omega’s technical evaluation.

Taroom Trough Campaign

Omega chief executive officer Trevor Brown said the company was keen to get started on the second well of the "play-defining" Taroom Trough appraisal campaign.

“Canyon-3 exceeded our pre-drill expectations, confirming the continuous nature of the reservoir system and the presence of thicker, higher quality sands than in Canyon-1,” he said.

“Canyon-4 is positioned to provide further evidence of the vast scale of the oil and gas resources across our eastern Taroom Trough acreage.”

“We look forward to sharing Canyon-4 results around end of this month as we continue to systematically evaluate the huge commercial potential of our acreage and progress our assets.”