MEO dives after failing to find gas

Shares in MEO Australia have taken a belting today, falling more than 50 per cent, after the company announced it had failed to find any gas at an exploration well off the WA coast.

In a statement to the Australian Securities Exchange, MEO said that it had failed to find any gas at its Artemis-1 well after drilling to a depth of 3,500 metres over the weekend.

"No hydrocarbons were encountered in the objective reservoirs," the statement said.

"Preparations are underway to run final logs before plugging and abandoning the well."

MEO shares closed down 55.44 per cent or 28 cents to 22.5 cents.