The well, which was drilled to a total depth of 9,256ft TVD, produced 1,000bopd with minimal initial pressure drawdown of the reservoir, and the crude has an API gravity of 29 degrees.

According to the company, Songkhla H-01 has the potential to produce in excess of 3,000bopd using an electric submersible pump.

The company said it has spudded an appraisal well to delineate the reservoir.

Coastal Energy CEO Randy Bartley said the Songkhla H-01 well was drilled in the center of the basin where sand risk is the highest.

"Encountering sand of this quality in the basin center is very encouraging and opens up significant additional exploration potential," Bartley said.