Amplitude Energy's (ASX:AEL) Juliet exploration well in the offshore Otway Basin seems to be leading to a commercial discovery, based on the data collected, Jarden said in a Tuesday note.

The Juliet-1 8 1/2-inch hole section penetrated the primary Waarre C reservoir target and reached a total depth of 2,299 meters true vertical depth subsea, with initial drilling and logging data showing elevated gas readings

Gas was intersected at Juliet, in which Amplitude holds a 50% interest. The firm will conduct wireline testing of the reservoir in the coming days to provide pressure data, informing resource estimates and the decision to complete the well.

The investment firm retained its overweight rating and raised its price target to AU$2.03 per share from AU$1.85 per share on Amplitude Energy.