BROADBEACH, Australia, Jan. 24 (UPI) -- Australian company Icon Energy Ltd. said Friday it encountered significant volumes of natural gas in a shale basin in the state of Queensland.
Icon said it completed drilling its Redland-1 well in the region -- an operation meant to evaluate the reserve potential in the Toolachee and Daralingie shale formations -- and found "significant gas."
The region, it said, could be a "world class" shale reserve area.
The well is the sixth for the company in the region. It said additional hydraulic fracturing is planned for the area during the third quarter of 2014.
Icon said it notified Australian authorities of the recent discovery.
Australia's Commonwealth Scientific and Industrial Research Organization said the country has "substantial prospective shale reserves" and that commercialization will require major investments.