Petroleum company denies targeting coal seam gas near Derby - ABC Kimberley WA - Australian Broadcasting Corporation
An oil and gas exploration company has ruled out exploring for coal seam gas (CSG) near the West Kimberley town of Derby. Oil Basins Limited has previously identified a well three kilometres from the town as a "...priority exploration target for CSG."
Oil Basins Limited holds the operating share for gas exploration, and is the preferred applicant in the 'Derby Block' exploration tenement. The tenement takes in over 5,000 square kilometres north from the Great Northern Highway to the King Sound, including the lower Fitzroy River and the entire Derby town site. The company has assessed the area to contain large unconventional and conventional gas and oil reserves.
Section: Business News
Apache joins Buru in search of Kimberley riches
Apache has joined the rush into the Canning Basin amid industry hopes the region in the Kimberley could contain one of the world's great untappedhydrocarbon resources.
Already one of the biggest sup pliers to W.N.s gas market, Apache has struck a deal to invest in some of Buru Energy's extensive Canning Basin permits ina deal worth at least $32 million.
Apache joins fellow Conoco Phillips Hess Corp, PetroChina and Buru's original joint venture partner, Mitsubishi, in trying to strike it rich in the shalegas-prospective Canning Basin.
The deal will include Apache paying for two exploration wells next year on what Buru has termed its coastal permits, south of Broome. Apache can earn an interest of up to 50 per cent, cutting Buru and its partner Mitsubishi Corp to 25 per cent each.
Buru managing director Keiran Wulff described the coastal permits and the so-called Acacia permits, in which Apache also plans to farm-in, as non-core given his company's focus on developing the Ungani oil field.
Buru and Mitsubishi next year want to approve an Ungani oil development producing about 5000 barrels a day.
Despite the basin's hyped potential, little drilling has happened as players grapple with the logistical challenges and secure the necessary approvals.