Exploration & Production | Capital Markets | Private Equity Activity

Senex Annouce Major Gas Field At Hornet

Share Print Bookmark    |    Thursday,May 16,2013

Senex has identified up to 2.9 trillion cubic feet of prospective resource in a conventional reservoir, including 141 billion cubic feet of contingent resource in a new gas field named Hornet.

Table 1 describes Senex’s net contingent and prospective resources (estimated recoverable gas, net of CO 2 and fuel) identified within the same continuous stratigraphic trap in the Mettika Embayment in southern Cooper Basin permits PEL 115 (Senex 80% and Operator; Orca Energy Limited 20%) and PEL 516 (Senex 100%).

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About the Hornet field

Recently acquired production logging data obtained from the Kingston Rule -1 and Hornet – 1 wells confirm the existence of a conventional, tight gas reservoir at an average depth of 2,500 metres in the Mettika Embayment in the southern Cooper Basin. The wells have recently flowed gas at stabilised rates up to 2.2 million standard cubic feet per day(mmscfd) and are located in the PEL 115 Hornet Block. PEL 115 Hornet Block is approximately seven kilometres southeast of Kidman as field, operated by Santos Limited on behalf of the South Australian Cooper Basin Joint Venture (SACBJV) , and 15 kilometres northeast of the Toolachee gas field, also operated by Santos.

The gas accumulation is defined within a stratigraphic trap that extends both to the north, southand east from PEL 115 Hornet Block into Senex’s 100% owned PEL 516. Much of this area is covered by 3D seismic and close spaced 2D seismic. In addition, 37 wells have been drilled by the SACBJV within the Hornet Gas Field resource area, providing rigorous subsurface control. Interpretation of geological and geophysical data indicates the gas accumulation intersected by these wells has reservoir characteristics similar to many existing Santos operated fields that produce conventional gas from the Patchawarra Formation. Senex is now planning an appraisal program to confirm the extent of the Hornet Gas Field and provide information required for early commercialisation. This work will consider issues such as drilling and subsurface design to optimise flow rates and ultimate economic recovery which will determine field economics. Senex Managing Director Ian Davies said the field was well placed for early commercialisation.

“The shallow depth,low CO2 , proximity to pipeline infrastructure with available capacity, and conventional reservoir characteristics of this resource are advantageous for early commercialisation. “We have a high level of confidence about the nature of this accumulation because of the strong control provided by a large number of wells that have been previously drilled in the area by Senex and others including the Santos operated South Australian Cooper Basin Joint Venture. The next step is to optimise well design to achieve commercial flow rates and gas recovery, with our first appraisal well spudding early in the September quarter,” he said