As a result Schull could become a “standalone development” the company said yesterday.
Gas flows were “significantly better” than the projected flows prior to drilling, said chief executive Paul Griffiths.
The wells now being developed in the Celtic Sea should be producing commercial gas within the next 18 months, he said.
By comparison with the Kinsale Head gas field, total output will be just 7% of the output achieved by the giant Marathon discovery.
Delivery of the gas will be through the existing infrastructure from the original Kinsale Head field, but the gas will not go to Bord Gáis necessarily.
In open market conditions Mr Griffiths said the company was free to sell to whoever offers the best price for the gas.
The positive drilling results from Schull have added “a new dimension” to the Celtic Sea gas play in an area that had previously remained under-explored, he said.
The 2006 and 2007 drilling programmes have delivered four successful gas wells which now form the basis for growing our Celtic Sea gas business, he said.
“Our 2006 and 2007 drilling programmes have delivered four successful gas wells,” he said.
A study has been commissioned to determine the best development for gas fields.