Offshore staff

(Asia-Pacific) - Australian-Canadian Oil Royalties Ltd. (ACOR) says the estimated possible reserve estimate for the A-1 lead on its VIC/P60 in the offshore Gippsland Basin has increased to approximately 9.2 times the original estimate.

The average porosity for the Gippsland Basin wells is between 10% and 27%.

One (1%) percent was originally used for the possible estimated reserve calculations on the A-1 lead.

The new calculation uses 19%, which is the correct average between 10% and 27%.

Using 19% porosity and a market price of $60 per barrel oil, ACOR estimates that the A-1 lead could possibly contain approximately 77.7 MMbbl of oil, or $4.7 billion.

VIC/P60 covers 339,769 acres. The A-1 lead is only one of six leads identified.

The A-1 lead is approximately 4.97 mi long and 1.24 mi wide with a seismic bright spot anomalie rated good to excellent.

The seismic bright spot is 108 ft thick and 820 ft horizontal by 20,500 ft perpendicular wide behind a fault on the flank of the anticline.

ACOR has traced the beds to the nearest oil and gas fields after processing about 5,000 seismic lines.