Melbana Energy (ASX:MAY) has reported strong signs of oil and high connection gas in drilling its Alameda-2 site in Cuba, which is currently at a depth of 1,597 metres.

The company said progress is ahead of schedule and the total well depth is expected to reach approximately 1,960 metres and that drilling will continue with flow tests in the primary and secondary units.

It also said a third core was taken from the first reservoir unit (1B), which will be sent for lab analysis.

Melbana Energy's share price is up 5% in morning trading.