Senex Energy announced it had been awarded a natural gas acreage in the Surat Basin in Australia as part of the Queensland Government’s domestic gas acreage tender process.
The firm won a 153 sq-km block (PLR2018-1-1), located 11km south of Miles and next to the Condabri development operated by APLNG.
The deal includes a grant of an exploration tenure for an initial six-year term, with a committed work programme over the first four years that includes standard geological studies throughout the term with three wells to be drilled in FY22-23.
The award aligns with Senex’s strategy to grow its position as an important supplier to the east coast gas market and builds on its existing ~1,800sq km of acreage in the Surat Basin.
Managing director and CEO Ian Davies said the award demonstrated Senex’s commitment to the long-term development of natural gas resources in Queensland.
“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. We are committed to investing for the long term to unlock new resources in addition to development-ready opportunities such as Project Atlas."
In the past two years Senex has drilled 38 natural gas wells in the Surat Basin and is investing more than $200 million in capital expenditure.