Gas continues to flow in south-west

Gas producer Santos has gained rights to explore for more gas near Injune in Queensland’s south-west.

Mines Minister Dr Anthony Lynham said Santos and its joint venture partners – TOTAL, Petronas, KOGAS and APLNG – had been awarded exploration rights to an 86 square kilometre area about 65 km north of Injune in Queensland’s Bowen Basin.

“This area holds significant gas resources, which will further add to the gas being produced by workers here in Queensland and made available for domestic use and export markets,” Dr Lynham said.

Santos Executive Vice President, Exploration and New Developments Bill Ovenden said the tender was ideally located.

“Being adjacent to the Santos-planned Arcadia project means the company will be able to leverage existing infrastructure, reduce development costs and produce more gas,” Mr Ovenden said.

Santos will need to negotiate land access agreements and fulfil any existing environmental and Native Title requirements before the exploration authority is granted and work can begin.

“We are continuing to drive gas exploration and production through the release of land under our Annual Exploration Program which provides planning certainty for explorers and early notice for landholders and local communities,” Dr Lynham said.

“Tenders are currently open for gas companies to explore for gas in 10 areas in the Bowen, Surat, Adavale and Eromanga basins.

“That includes more than 6000 square kilometres for gas that can only be sold in Australia, and not exported.”

Another gas major APLNG recently gained a 95 square kilometre petroleum lease to in the Surat Basin.

“This area has the potential to produce 251 billion cubic feet of gas over the next 30 years,” Dr Lynham said

“APLNG will commence production on the site within the next three years using their existing Combabula gas processing facilities.”