Australia’s Senex Energy has secured Surat Basin acreage for gas supply to domestic customers in the Queensland Government’s gas acreage tender.
Consisting of P50 recoverable gas volumes of 201 petajoules, the acreage is capable of sustaining production rates of more than 30 terajoules per day at plateau.
The tendering process ensures that the resources of Queensland are responsibly managed by allocating exploration rights to companies that can explore for these resources.
Regulatory approvals over the acreage are expected to be obtained next year.
Senex Energy managing director and CEO Ian Davies said: “We plan to engage with domestic gas customers in early 2018 with a view to signing gas supply contracts, with first gas targeted for 2019.”
Securing the petroleum lease is set to open up access to 58km² of land near Miles.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataSenex plans to operate the area, which sits within a region where a high volume of gas production is already underway and is considered highly prospective.
The company expects to invest more than $200m on wells and infrastructure over the life of the project.
As the land is adjacent to existing gas infrastructure, it would be easy to fast-track production from wellhead to market.
Minister for natural resources and mines Dr Anthony Lynham said: “Senex must now negotiate land access agreements and fulfil all existing environmental and Native Title requirements before the Petroleum Lease is granted and work can begin.
“All going well, it is expected that gas from this project will become available to the local market within the next two years.”
Dr Lynham added that a second tendering opportunity will soon be announced for two areas north of Surat in the Bowen and Surat basins.