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State Government awards Surat acreage

Senex Energy and Galilee Energy have both been awarded land for exploration, with all the gas produced from these areas to be supplied exclusively to the domestic market.

Senex, whose Surat Basin acreage already equates to approximately 1,800 km2, has won another 1,531 km2 in block PLR2018-1-1, located 11 km south of Miles.

The award is subject to the grant of an exploration tenure for an initial six year term, with a committed work program over the first four years, which includes standard geological studies with three wells to be drilled in financial year 2022-2023.

Senex Managing Director and CEO Ian Davies said the new award would build on what the company had started with the neighbouring Project Atlas development.

“Senex is pleased to have been awarded this exploration acreage, which has large estimated volumes of gas in place in the Walloon and Permian coals, albeit technically challenging to develop,” he said.

“Senex welcomes the Queensland Government’s policy of actively encouraging investment in the state’s resource sector to bring new supplies of gas to market.”

Through Project Atlas and the Roma North development, Senex has drilled 38 natural gas wells in the Surat Basin in the past two years, investing more than $200 million in the region.

Galilee has been awarded 384 km2 in block PLR2018-1-8 in area south of Chinchilla and adjacent to the Ironbark CSG development recently acquired by Australia Pacific LNG.

Galilee Managing Director Peter Lansom said exploration in the acreage would provide benefits to the local community.

“Galilee applaud the efforts of the Queensland Government in addressing gas supply concerns by opening up the market to junior and mid-tier explorers to provide diversity and efficiency, to explore and develop new areas and thereby drive growth in regional areas,” he said.

The Queensland Government currently has a series of blocks up for competitive tender, in the Bowen and Surat basins, closing 8 August 2019.

For more information visit the Queensland Government website.

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