"FAR's hydrocarbon resource assessment confirms the significant potential of FAR's offshore Western Australian permits," Cath Norman, the company's managing director, said in a statement Tuesday.
FAR said it estimates there are 447 million barrels of oil equivalent in two exploration permit areas in the Dampier basin off the coast of Western Australia.
The company said the permit areas are located in areas already known to contain oil and natural gas deposits.
"Subject to encouraging results, FAR expects to proceed with drilling in a later subsequent exploration period," the company said.
Australia is a premier exporter of liquefied natural gas. Several Asian countries have secured long-term natural gas supply contracts from companies operating in Australia.