Page 7 - AfrOil Week 50 2020
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AfrOil                                             NRG                                                 AfrOil

                         Tamboran added that it expected to secure  over the next year, making this one of the most
                         regulatory approval in early 2021 and once the  active onshore exploration plays globally. These
                         deal closed it would wholly own and operate  next 12 months are crucial as the Beetaloo grad-
                         exploration permits (EPs) 136, 143 and 197(A).  uates from being viewed as an exploration play
                         It described the acquisition of the new licences  to the world-class commercial development
                         as “highly strategic”, significantly expanding its  opportunity that we believe it is.”.
                         presence in the Beetaloo sub-basin beyond its
                         current 25% working interest in Santos’s EP 161.  If you’d like to read more about the key events shaping
                           The company also said the deal would allow   Asia’s oil and gas sector then please click here for
                         it to become an operator in the basin once again,   NewsBase’s AsianOil Monitor.
                         after Santos farmed into EP 161 in 2012. The
                         junior said the Sweetpea acquisition not only  DMEA: Nigeria’s unfulfilled gas potential
                         consolidated the company’s Beetaloo Basin  Nigeria needs to make more use of its abundant
                         focus, where it “has developed in-depth techni-  gas resource in order to bring down energy costs,
                         cal knowledge”, but it also provides for significant  lower its emissions and spur economic growth,
                         “reserve growth”.                    Nigeria LNG (NLNG) CEO Tony Attah said at a   Both NLNG and
                           Tamboran said: “EP136 sits adjacent to EP161  conference last week.
                         and, in combination, [they] cover the portion of   While Nigeria is better known as Africa’s big-  the government
                         the Beetaloo sub-basin with the thickest and  gest oil producer, it also holds 200 trillion feet
                         highest quality shales as delineated by seismic  (5.4 trillion cubic metres) of proven natural gas.   have complained
                         and intersection by wells drilled to date.”  According to the NLNG head, “it’s about time
                           At the start of the month, Tamboran said that  Nigeria really takes advantage of this resource.”  about Nigeria’s
                         EP136 held the potential to turn the company   The consortium’s LNG plant on Bonny Island   slow pace in
                         into a major developer of shale gas for the East  can produce up to 22.5mn tonnes per year (tpy)
                         Coast market. The company cited the flow test  of LNG. The consortium last year took a final   growing its LNG
                         results from EP161’s Tanumbirini-1, the first  investment decision (FID) on adding a seventh
                         vertical well drilled on the block.  train and de-bottlenecking the project, which   export capacity
                           The developer said in October that the  should expand its output to 30mn tpy in 2024.
                         Tanumbirini-1 well had achieved an average   Both the consortium and the government
                         flow rate of 2.3 mmcf (65,000 cubic metres) per  have complained about the country’s slow pace
                         day during the first 90 hours of testing follow-  in growing its LNG export capacity. The coun-
                         ing a more than 160-day shut-in. It added that  try was the world’s fourth-biggest LNG exporter
                         Tanumbirini-1’s flow results suggest that a single  until last year, when it moved down to fifth posi-
                         well in the core Beetaloo could produce in excess  tion after being replaced by the US.
                         of 10 mmcf (283,000 cubic metres) per day and   “We have to set our sights on Trains 8, 9 and
                         a total of more than 10 bcf (283.2 mcm) over its  10,” Attah said. He also called for Nigeria to
                         whole lifespan.                      expand its use of gas at home, in areas ranging
                           Santos is planning on drilling the Tanumbir-  from petrochemicals and power generation to
                         ini 2H and Tanumbirini 3H horizontal wells in  motor transport and home cooking.
                         EP 161 next year. EPs 136 and 161 lie adjacent   In other news over the past week, Kuwait has
                         to Origin Energy and Falcon Oil & Gas’ EP76,  brought on stream its largest crude distillation
                         where all civil engineering and constructions  unit (CDU) at the Mina Abdullah refinery. The
                         have been completed and the 76-N2H horizontal  unit was launched as part of Kuwait’s Clean Fuels
                         well is planned for 2021.            Project (CFP), which involves the upgrade of the
                           Tamboran CEO and Managing Director Joel  Mina Abdullah and Mina Al Ahmadi refineries
                         Riddle said: “In total, this area may see between  to increase their output and create cleaner and
                         three and five new delineation wells or results  higher-value products.

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