Armour Energy has secured rights for the PLR201718‐2‐4 onshore license on the Roma Shelf in the Surat Basin from the Queensland government in Australia.
The new acreage in the Roma Shelf, which was won during the Queensland petroleum acreage release tender, is located near the producing Kincora Gas Project, said Armour Energy. It enables the company to carry out exploration at 457km2 of land, located 10km south of Surat.
The exploration and production company said that the newly won area is believed to be highly prospective for both gas and liquids. It further said that Pipeline License No. 20 (PPL 20), the company’s 100% owned gas pipeline infrastructure, passes along the new Roma Shelf acreage.
According to Armour Energy, the award of the acreage adds to its commitment to the further development of oil, gas and liquids from the Roma Shelf, which is backed by ongoing strong demand for gas in the Australian East Coast Energy Market.
Armour Energy CEO Roger Cressey said: “The award of this tenure adds to our plans for the reinvigoration of the large Permian gas and condensate plays of the Surat Basins. Our current activities are demonstrating that the conventional reservoirs of the Surat still have a long‐term future in producing oil and natural gas for Eastern Australia.
“Armour Energy appreciates the Minister for Natural Resources, Mines and Energy’s continuing confidence in Armour Energy as a company that is moving ahead in the exploration, development and production of gas in Queensland.”
Currently, the company is continuing to drill the Myall Creek 5A production well at its 100% owned PL511 license in Queensland.
On the other hand, its Kincora Gas Project, also located in the Roma Shelf, is currently having a production of 9TJ of gas per day. Armour Energy is looking to ramp up the production to 20 TJ/day in 2019 under a four‐phase growth strategy.
Apart from the Kincora Gas Project, the company also owns 100% in the North West Queensland Project, a shale gas prospect that spans around 3.6 million acres and surrounds the south Nicholson Basin and underlying Isa Super Basin.