Apache said its first discovery at the Canning basin off the coast of Australia may hold as much as 300 million barrels of oil in place.
Pulled from the Phoenix South-1 well, Chief Operating Officer Thomas Voytovich said in a statement the Canning basin is an exciting new prospect for Apache.
"The oil and reservoir quality we have seen point to a commercial discovery," he said. "If these results are borne out by further appraisal drilling, Phoenix South may represent a new oil province for Australia."
Phoenix South is located about 110 miles north of Port Hedland in Western Australia state. Waters in the region are around 435 feet deep.
Apache said it recovered six separate samples from three distinct oil-bearing layers in the well in the Canning basin.
The company said in its statement the reference to oil in place suggests only a portion of that volume is recoverable. Further drilling and evaluation of the Canning basin is planned for 2015.