InfraStrata said wellsite construction has commenced for the Woodburn Forest-1 well in Northern Ireland.
The company said the drilling of the well is expected to begin from May this year.
Chief executive Andrew Hindle said if the well encounters petroleum it would confirm the wider prospectivity of the Larne-Lough Neagh Basin within the area.
He said: “We are pleased that the preparations for the well are underway. The well will target three conventional sandstone reservoir intervals, the Triassic Sherwood, Permian Lower Permian Sandstone and Carboniferous Sandstones.
“The P50 Prospective Resources have been estimated by the joint venture at 25 million barrels of oil (‘MMBO’) (net 2.5 MMBO1 to InfraStrata) within the Woodburn Forest prospect.
“If the well encounters petroleum it would confirm the wider prospectivity of the Larne-Lough Neagh Basin within the area licenced to InfraStrata and partners.
“The Directors of InfraStrata believe this in turn would have a very positive impact on the economy of Northern Ireland.
“We appreciate the support of a number of local contractors who will be employed by InfraStrata over the coming weeks.”