An Australian energy company that's one of the few foreign companies working in Cuba said it was rewarded for its efforts with a contract extension.

Melbana Energy Ltd., formerly MEO Australia, said the national oil company of Cuba, CUPET, extended its contract for early exploration efforts in an onshore area called Block 9 by eight months to November 2017.

"As a result, the overall Block 9 production sharing contract exploration period remains unchanged at eight and a half years and will continue until March, 2024," the company said in a statement.

In an update on operations through the end of September, the company, one of the few Western companies working in Cuba, said it identified oil plays in so-called Block 9 that combine for an estimated 8.2 billion barrels of oil in place. The company's best estimate is that it could recover about 395 million of those barrels.

Cuba is the company's highest-priority asset and it's already drilled a number of wells in Block 9.

"We are continuing to focus our efforts on the potential for early drilling opportunities in Block 9," CEO Peter Stickland said.

U.S. President Barack Obama issued an executive directive in October that could open Cuba to a role in institutions like the International Monetary Fund and the World Bank, which Washington said could provide an advantage to the Cuban economy. A thaw in relations between the two former Cold War foes began in 2014.

Melbana said its established position in Cuba gives it a head-start on tapping the oil potential as diplomatic relations improve.