Page 11 - AsianOil Week 45
P. 11

AsianOil                                        OCEANIA                                             AsianOil


       Jemena signs pipeline deal with Tamboran





        PIPELINES &      WITH activity in the Northern Territory’s shale
        TRANSPORT        gas fields picking up in the wake of the coronavi-
                         rus (COVID-19) pandemic, industry excitement
                         over the region’s potential is also building.
                           Australian infrastructure operator Jemena
                         revealed this week that it had signed a memo-
                         randum of understanding (MoU) with Tamb-
                         oran Resources over developing infrastructure
                         capacity in the NT.
                           Tamboran holds a 25% non-operated interest
                         in Santos’s Beetaloo/McArthur Project, which
                         consists on EP161, EP162 and EP189.
                           Jemena said on November 11 that the MoU
                         would give it “exclusivity”, in return for speed-
                         ing up its more than AUD5bn ($3.63bn) plan
                         to increase the Northern Gas Pipeline’s (NGP)
                         capacity.
                           As a result of the partnership, Jemena said it
                         planned “to progressively increase” the NGP’s
                         capacity from around 90 TJ (2.34mn cubic
                         metres) per day of gas to 1 PJ (26.05 mcm) per
                         day through a combination of compression and
                         looping.
                           The NGP will then be connected to the com-
                         pany’s proposed Galilee gas pipeline, which will
                         span around 585 km from Galilee Energy’s Gle-
                         naras gas project near Longreach in the Galilee  which it believes could occur towards the end of
                         Basin to the Wallumbilla gas hub in Queensland.  the decade.
                           Jemena said it anticipated transporting up to   The pipeline operator said the agreement
                         200 TJ (5.21 mcm) per day of gas via the NGP  would hold Tamboran responsible for upstream
                         from 2025, with transport quantities increasing  activities across the basin, without expanding on
                         as the extended and expanded pipelines come  the scope of those activities.
                         online from the second half of the decade. The   Jemena managing director Frank Tudor said:
                         company is also considering laying a pipeline  “This is an important step towards delivering on
                         from Beetaloo to Darwin once new LNG trains  the Commonwealth government’s plans for the
                         or local demand centres have been sanctioned,  Beetaloo as part of a gas-led recovery from the
                                                              COVID-19 pandemic,” Tudor said. “While our
                                                              MoU with Tamboran gives us exclusivity, it also
                                                              highlights the importance of collaboration and
                                                              we plan to make our infrastructure available to
                                                              all industry participants.”
                                                                Tamboran managing director and CEO Joel
                                                              Riddle, meanwhile, said: “The announcement
                                                              of our partnership with Jemena represents a key
                                                              building block in our efforts to bring new sup-
                                                              plies of natural gas to energy-starved eastern
                                                              Australia by 2023-2024.”
                                                                Riddle described the exploration area in the
                                                              NT as “the hottest play on the planet” in an inter-
                                                              view with the Australian Financial Review in late
                                                              October. He said testing at the Tanumbirini-1,
                                                              located in EP161, had delivered much better
                                                              than expected flow rates, which augured well for
                                                              Santos being able to commercialise the project
                                                              with a lower well count.
                                                                “That’s where the productivity of the Beeta-
                                                              loo really differentiates itself versus other areas
                                                              of Australia: it’s big, it’s highly productive and it
                                                              can solve these shortfalls with just a handful of
                                                              wells,” he said. “This is why I believe this is the
                                                              hottest play on the planet ... definitely within the
                                                              OECD countries.”™



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