Fire broke out on the 'West Atlas' oil rig on November 1. The rig has been leaking oil into the Timor Sea for the last ten weeks.
Operator of the rig, PTTEP Australasia told The Age newspaper that no one on board the rig had been injured and that all non-essential workers had been evacuated.
A spokesman for the company added that the fire was being fuelled by oil and gas and that the only way to stop it was to stem the oil leak.
"The measures which we have been able to take so far can only mitigate the fire, they will not stop the fire," the newspaper quoted the spokesman as saying.
Meanwhile, the Australian Government has told scientists to concentrate on the northern side of the oil leak as it is believed that most of the oil is spreading in a northerly direction.
Scientists in charge of they survey have already found dead animals and signs that marine life were being drawn towards the huge oil slick.
Australian Conservatio Foundation spokesman Chris Smyth said that he was "very concerned" about the limitations of the scope of the survey.