Karoon Gas (ASX: KAR) is set to kick off its 2012 Browse Basin drilling program off Western Australia later this week that will better define the size and characteristics of the greater Poseidon structure.
The first well, Boreas-1 in WA-315-P, targets a large tilted fault block about 4 kilometres south of the Poseidon-1 gas discovery.
Boreas-1 is expected to spud in a couple of days and reach total depth later in the first half of this year.
It will be followed by the Zephyros-1 well in WA-398-P that will be drilled on a large tilted fault block about 8 kilometres southwest of the Kronos-1 well.
The third well, Proteus-1, is located in WA-398-P on a large tilted fault block about 14 kilometres southeast of Poseidon-1.
Additional well locations for the remainder of the minimum 5 well program will be announced as they obtain joint venture approval.
The wells will be drilled by the Transocean Legend semi-submersible drilling rig.
The Poseidon field was discovered by the Poseidon-1 well in 2009 and has contingent resources of about 7 trillion cubic feet of gas in the Plover Formation sands.
Meanwhile, the Kronos-1 well intersected a separate formation from Poseidon-1 and flowed 26 million cubic feet of gas per day during drill stem testing.
ConocoPhillips is the operator of WA-314-P, WA-315-P and WA-398-P that contain the previously announced Poseidon and Kronos gas discoveries.
The supermajor is funding 80% of the drilling and testing costs for the initial A$125 million of expenditure.
Karoon Gas holds 40% of WA-315-P and WA-398-P, and 90% of permit WA-314-P.