Page 4 - AsianOil Week 30 2022

AsianOil COMMENTARY AsianOil

Strike prepares for FIDs

following reserve upgrade

Strike Energy is targeting final investment decisions on the West

Erregulla and Walyering projects in Australia after reserves at both

projects were increased

PROJECTS & AUSTRALIA’S Strike Energy is making progress had independently certified gross proven and
COMPANIES on two gas projects in the country’s onshore probable (2P) gas reserves of 54 petajoules
Perth Basin, in the hope of reaching final invest- (1.4bn cubic metres) and
WHAT: ment decisions (FIDs) on them later this year. 550,000 barrels of condensate at Walyering.
Strike Energy is targeting The company recently announced reserve The reserves certification programme also
development of the West upgrades at both the project – West Erregulla, identified “substantial” upside, with RISC
Erregulla and Walyering in which it partners with Warrego Energy, and finding that the field could have a further 32 PJ
projects in Australia. Walyering, which it will develop together with (859mn cubic metres) of gas and 31,000 barrels
Talon Energy. of condensate in gross best-estimate contin-
WHY: Progress on these projects comes amid grow- gent (2C) resources. It further estimated that
Reserves at both projects ing concerns in Australia about looming short- there could be an additional 16 PJ (430 mcm)
have recently been ages of domestic supply in the future. Strike’s of gas and 160,000 barrels of condensate in
upgraded. projects will only make a small contribution gross unrisked best-estimate prospective (2U)
to the overall supply picture in the country, but resources.
WHAT NEXT: they will nonetheless be welcomed by those call- Strike, which owns a 55% operating interest
Strike’s advances come ing on Australia’s producers to ramp up output. in Walyering, said the upgraded estimates of the
amid concerns about field’s potential represented a “great outcome”
Australia’s looming Upgrades for the project, especially given the higher com-
domestic supply Strike, which is the operator of both West Erreg- modity price environment.
shortages. ulla and Walyering, has received a boost thanks “As previously highlighted, the Walyering gas
to recent reserve upgrades at both projects. On field was not captured in the forward supply
July 21, the company said the Walyering explo- modelling by the AEMO [Australian Energy
ration and appraisal programme had exceeded Market Operator] in their 2021 Gas Statement
gross pre-drill gas-in-place estimates by 35%. of Opportunities and, therefore Walyering’s gas
According to the announcement, RISC Advisory supplies will be influential in minimising or

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