Red Sky Energy (ASX:ROG), an Australian oil and gas exploration and production company focused on developing onshore energy assets in proven Australian basins, has announced that its Yarrow 4 development well in PRL 17 has intersected gas pay. The well, operated by Santos (ASX:STO) in which Red Sky holds a 20% working interest, reached a total depth of 2,908 metres on 6 September 2026. Following preliminary interpretation, the well is now slated to be cased and suspended as a future gas producer, marking a significant step in the Yarrow development program.
Preliminary petrophysical interpretation of logging while drilling data indicates two gas-saturated zones within the primary target, the Tirrawarra Sandstone. This zone shows 5.2 metres of low deliverability gas (LDG) pay. Additionally, 0.2 metres of LDG pay was identified in the Patchawarra Formation. A downhole formation pressure survey over the reservoir section recorded a reservoir pressure of approximately 3,335 psi in the Tirrawarra Sandstone, corroborating the gas intersection. These results are preliminary and derived from logging while drilling data, and remain subject to revision.
Santos, as the operator, has recommended that Yarrow 4 be cased and suspended for future hydraulic stimulation, completion, and connection, a recommendation supported by Red Sky. Production casing will be run, with a workover rig expected to return to the site for fracture stimulation and completion. Rig 184 will immediately move across the dual-well pad to commence drilling of Yarrow 5. Red Sky Managing Director, Andrew Knox, commented, “Yarrow 4 has intersected gas pay in the Tirrawarra Sandstone and will be cased and suspended as a future producer. This is the outcome we were working towards in this phase of the Yarrow development.” The company also noted that civil works for the Willowie 2 appraisal well in PRL 18 are scheduled to begin in early September 2026, with spud estimated for late October 2026.