Page 19 - AsianOil Week 44 2020

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OCEANIA commenced at 07:30hrs (AWST) on 31 from existing North West Shelf LNG
October 2020. infrastructure.
Beach expands Cooper metres, is currently at 407m MDRT and CUE ENERGY, November 2, 2020
The well, located in water depths of 300
Basin portfolio is expected to take approximately 70 to 90 Santos signs new gas deal
days to drill.
Beach Energy is pleased to announce it has Ironbark-1 will test the giant Ironbark with WA-based Kleenheat
executed an Asset Sales Agreement (ASA) gas prospect, which has a best estimate of
with Senex Energy (Senex) to acquire Senex’s 15Tcf prospective recoverable gas resource. Santos, Western Australia’s biggest domestic
Cooper Basin assets for a cash consideration The primary Deep Mungaroo target is at gas producer, today announced a new gas
of $87.5 million. a depth of approximately 5,335 mTVDss. sales agreement to supply natural gas to
The acquisition sees Beach expand on its Several additional reservoir objectives Western Australian energy solutions provider,
comprehensive South Australian Cooper within the same formation will also be Kleenheat.
Basin portfolio after picking up a material tested. Kleenheat is part of Wesfarmers
acreage position from Senex (10,876 km2 An extensive Logging While Drilling Chemical, Energy and Fertilisers (WesCEF),
gross). As an existing equity holder in many (LWD) programme has been prepared for a group of businesses that will also utilise
of the key permits, Beach already has in the evaluation of the well during drilling. the gas. Under the contract, Santos will
depth knowledge of the key assets and plays. Ironbark-1 is designed as an exploration well supply more than 16 petajoules of gas from
Beach Managing Director Matt Kay said that will be plugged and abandoned following its Varanus Island processing operations
he was pleased to make the acquisition as the completion of operations. over three years from 2021.
it would enable the company to apply its Cue CEO Matthew Boyall commented Santos Managing Director and Chief
exploration, appraisal and development on the commencement of drilling. Executive Officer Kevin Gallagher said
expertise across a broader footprint. “From “We are excited to see the start of the the agreement further cemented Santos’
a Beach perspective this was a logical Ironbark-1 exploration well, which will position as the leading supplier of clean,
acquisition given our proven track record of target the giant Ironbark gas prospect. affordable and reliable energy in Western
extracting value from permits we operate, Cue’s 21.5% interest is substantial for Australia.
combined with the fact we are building an opportunity of this size and has the “In these challenging economic times,
on our extensive position in the Western potential to be company changing if this agreement with one of Western
Flank across the South Australian Cooper successful.” Australia’s largest users of natural gas is
Basin,” Mr Kay said. “The transaction “Drilling of the Ironbark-1 well is the good for Kleenheat, good for Santos and
is immediately earnings accretive for culmination of significant work undertaken good for WA, supporting local jobs and
shareholders, with initial estimates pointing by Cue to explore and understand the Deep business opportunities, and demonstrating
to approximately $5 million in annual Mungaroo gas play in the Carnarvon Basin our confidence in WA’s future,” Mr
operating cost savings, expected to be and attract partners BP, Beach Energy and Gallagher said.
realised in the first year post acquisition.” New Zealand Oil & Gas to form the current “Santos supplies approximately 45 per
“Pleasingly, the new acreage contains joint venture.” cent of the State’s domestic gas requirements
more than 10 drill-ready oil and gas “Success in Ironbark-1 would open up and we are committed to investing in
prospects, providing additional upside the potential of further Deep Mungaroo exploration and development of new
potential. These prospects will be integrated prospectivity along this play fairway.” domestic gas supplies to meet the energy
into our growth portfolio as drilling Exploration permit WA-359-P is needs of WA households and businesses for
candidates from FY22.” The transaction located in the Carnarvon Basin, offshore the long term.”
sees Beach become the sole Western Flank Western Australia, approximately 50km SANTOS, November 4, 2020
operator, delivering material synergies
through the simplification of Western Flank
field operations and enabling Beach to apply
its proven technical capabilities to explore,
appraise, develop and produce the reserves
and resources.
In addition, the Transaction will see
Beach take 100% ownership of Western
Flank infrastructure, including the Growler
to Lycium Flowline System (GLFS) and
the Lycium to Moomba Flowline System
(LMFS).
BEACH ENERGY, November 3, 2020
Ironbark-1 drilling
commences

Drilling of the Ironbark-1 exploration well
in exploration permit WA-359-P in the
Carnarvon Basin, offshore Western Australia,

Week 44 05•November•2020 www. NEWSBASE .com P19