Oil and Gas News

New QLD gas explorer secures Surat, Bowen Basin blocks

Queensland has welcomed a new gas explorer with AusGasCo being given the green light to explore for gas in the Bowen and Surat Basins.

The company has been appointed preferred tenderer for two blocks, located to the east and south-east of Injune, totalling 114km2.

Queensland Minister for Resources Scott Stewart said the first time explorer marks an important milestone for the state.

“Not only are we are doing all we can to get more gas in the market, but we are welcoming first time junior explorers to help bring more jobs and economic benefits to Queensland,” Stewart said.

“In fact, during 2020 we released a total of 8205 square kilometres for gas exploration to maintain a pipeline of future resources projects.”

AusGasCo chairman Frank Connolly said the board and team are excited to be awarded preferred tenderer for the two parcels, which will be foundation tenures for the company as a new entrant in the Queensland energy industry.

“I commend the government’s confidence in junior explorers, promoting near-term Queensland petroleum exploration and encouraging private investment in the sector,” Connolly said.

“It will benefit the local communities and businesses of central Queensland, the Queensland energy market and the Queensland economy.

“The two tenures are complemented by their location next to a number of quality, producing coal seam gas fields with multiple domestic gas transmission pipelines nearby.”

The company is focused on prospective gas exploration and appraisal opportunities with access to the Australian east coast domestic gas market. 

Since 2015, the Palaszczuk Government has released more than 80,000km2 of land for gas exploration, over a quarter of it guaranteeing the gas will be for Australian consumers. 

In addition, the government is also investing $5 million to investigate the feasibility of a physical 500km gas transmission pipeline to connect the Bowen Basin to the domestic and export markets.

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