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  • 30 Apr 2024 9:19 AM | Stephanie Berlin (Administrator)

    The Territory Labor Government is firmly committed to building a thriving economy.

    Our strategic strengths as a jurisdiction will be put on full display at one of the world’s largest industry events in 2025 – World Expo.

    World Expo will be held in Osaka and is expected to attract over 28 million visitors, across 160 participating countries and 25 international organisations, all of which present unparalleled trade, investment and tourism opportunities.

    The NT Government has committed to a $500,000 Bronze partnership agreement with the Commonwealth Government, underpinning a significant Territory showcase targeting trade and investment for our region.

    Expo 2025 Osaka is a momentous opportunity for the Northern Territory Government and industry to enable foreign direct investment and promote the capabilities of our region.

    The energy transition will play a major part of discussions at Expo. The overarching theme of “Designing a Future Society for our Lives” aligns with Australia’s theme of “Chasing the Sun”, showcasing Australia’s ambition to be a clean energy superpower.

    The Northern Territory’s rich critical minerals industry places us in high interest to engage with the leaders of the global energy industry.

    A visitor economy experience will also showcase the tourism potential of our region including our strengths in art and culture.

    Quotes attributed to Chief Minister and Minister for Trade, Eva Lawler:

    “The Territory is building strong trade ties and bringing new business to town, World Expo 2025 will play a big role in reaching our goal of a $40 billion economy by 2030.

    “The Territory's strengths in critical minerals and resources, sustainable processing, as well as decarbonisation will be on full display to over 28 million investors, this more means stable employment for more Territorians in more industries.

    “Japan is one of the key trading partners of the Territory, and Expo 2025 is an opportunity to reach new markets by aligning global demand with what the Territory has to offer.”

    Quotes attributable to Federal Trade Minister, Don Farrell:

    “I am delighted to partner with the Northern Territory at the Australian pavilion at Expo 2025 Osaka – showcasing the very best our nation has to offer on the global stage.

    “Japan is the Northern Territory’s largest export market, and further strengthening these ties, will help to create more trade, more investment, more opportunities, and more jobs in the Top End.

    “Over six months, the Expo presents an opportunity to showcase the very best of Australian business, innovation and culture, developing new markets and more opportunities for all participants.”

    Source: Northern Territory Government newsroom

  • 29 Apr 2024 10:25 AM | Stephanie Berlin (Administrator)

    Barossa project disruptors in the gun to pay Santos legal costs.

    In a strategic legal payoff, Santos has secured a pivotal victory as a federal court judge agreed to their request to subpoena documentation held by three environmental activist groups. This decision positions Santos favourably in the legal battle and places the activists on the hook for the substantial legal expenses incurred by the oil giant in defending the case.

    The lawsuit, spearheaded by traditional custodians, impugns Santos's purported negligence in evaluating submerged cultural patrimony, prompting a plea for an injunction against pipeline bids until a revamped environmental blueprint garners scrutiny from the National Offshore Petroleum Safety and Environmental Management Authority. This litigious saga burgeons into a pivotal juncture for Australia's LNG sector, as Santos's legal eagles attempt to recoup substantial legal expenditures from environmental crusaders entangled in the Munkara affair, catalysing the suspension of pipeline plans in November 2023.

    Earlier, Santos submitted a formal petition to the court, requesting subpoenas for four activist organisations: Sunrise Project, ECNT, Market Forces, and Jubilee. These groups are involved in a lawsuit concerning the extensive legal delays surrounding the Barossa Gas Export Pipeline project in the Timor Sea.

    The financial support these organisations provided to the Environmental Defenders Office (EDO) concerning the Munkara affair raises questions about their potential responsibility for legal expenses. This has led to significant tension between energy giants and environmental advocacy groups. The consequences of these legal proceedings extend into corporate governance and environmental stewardship, creating ripples that affect both sectors.

    Counting the cost

    Plagued by substantial financial haemorrhaging resultant from protracted legal skirmishes, Santos has earmarked an additional $300 million investment to buttress the beleaguered Barossa gas project. As a result, the total cost has increased to between $4.5 billion and $4.6 billion. The marquee gas venture was initially scheduled to launch earlier but is now expected to begin in the third quarter of 2025.

    Nonetheless, Santo's boss, Kevin Gallagher, stated in the company's recent quarterly communiqué to the ASX that he now has "clear sight" on pivotal projects to replace the Darwin LNG's declining fortunes and underperforming LNG plant in Gladstone, Queensland.

    Court's decision

    Justice Natalie Charlesworth approved Santos's request to access financial records and correspondences between activist groups and the EDO last Wednesday. This enables Santos to recover costs from campaign organisations regarding the lawsuit brought by the EDO on behalf of the traditional owners of the Tiwi Islands.

    The dossier encompasses financial underpinnings, legal safeguards, and exchanges between the factions regarding the legal proceedings. Market Forces is one of the groups involved, but they have avoided making public statements about the matter. However, ENB understands Market Forces may still be held liable for their involvement, as the disclosure exemption differs from financial obligations.

    ENB understands a mediation rendezvous among stakeholders is slated for the coming week. This will likely be preceded by another judicial deliberation in the coming weeks, during which the adjudicator hints at a prospective adjudication on financial liabilities.

  • 27 Apr 2024 10:17 AM | Stephanie Berlin (Administrator)

    The Territory Labor Government is backing the industries which get Territorians working and new results paint a bright picture for the Territory.

    Today, Tamboran Resources announced on the ASX final results from their Shenandoah South 1H well in the Beetaloo Basin.

    The 90 day flow test produced rates of 5.8 million cubic feet per day, which is 65% higher than any other well in the Beetaloo Basin.

    Flow testing has demonstrated the Beetaloo Basin has gas flow levels in line with the most prolific regions of the Marcellus Shale in the US, providing immense investor confidence as Tamboran expect to reach final investment decision by mid-2024.

    This also provides Territorians confidence the Beetaloo Basin will facilitate growth in the economy by over $17 billion and create thousands of working opportunities for many years to come.

    Only last week the Lawler Government announced a deal with Tamboran which secures power for at least the next nine years and ensures Territorian are the first to benefit from Territory gas.

    The first gas is expected to flow from the Beetaloo Basin to Territory power generators is expected for the first half of 2026.

    Quotes attributed to Chief Minister, Eva Lawler:

    “This is a key milestone for Tamboran and waves a metaphorical green flag to the world letting them know the Territory is where you should be investing your money.

    “We are backing industries which get the Territory working, industries which deliver cleaner and more affordable energy and industries which boost our economy.

    Quotes attributed to Minister for Mining, Mark Monaghan:

    “The Northern Territory will be the jurisdiction to deliver cleaner and more affordable energy to Australia and the world.

    “Territorians will benefit from backing in this industry.”

    Source: Northern Territory Government

  • 26 Apr 2024 11:20 AM | Stephanie Berlin (Administrator)

    Highlights

    • The Shenandoah South 1H (SS-1H) well in EP 117 achieved an average 90-day initial production (IP90) flow rate of 2.9 million cubic feet per day (MMcf/d) over the 1,644-foot, 10 stage stimulated length within the Mid Velkerri B Shale, normalized to 5.8 MMcf/d over 3,281-feet (1,000 metres).
    • The IP90 flow test at SS-1H was ~65% higher than the Santos-operated EP 161 Tanumbirini 3H well, which previously achieved the highest flow rate in the Beetaloo Basin.
    • The SS-1H flow test indicates that future development wells with lateral lengths of 10,000 feet may be capable of delivering average rates of 17.8 MMcf/d over the first 90 days of production.
    • Flow testing has demonstrated productivity and decline profiles in line with the most prolific regions of the Marcellus Shale in the US. This confirms the Company’s view that the Beetaloo West region is the preferred region in the basin to commence development operations.
    • The well will now be shut in and suspended as a potential future production well.
    • Tamboran continues to undertake Front End Engineering and Design (FEED) studies on the proposed Shenandoah South Pilot Project. The Company expects to take Final Investment Decision (FID) in mid-2024, subject to funding and key stakeholder approvals.

    To view the full ASX announcement, click here.

    Source: Tamboran Resources

  • 26 Apr 2024 10:36 AM | Stephanie Berlin (Administrator)

    The Territory Labor Government continues to help Territorians save money on their power bills by investing $6.1 million into providing access to cheaper renewable energy in major centres and remote communities.

    In Budget 2024 we are investing $3 million to continue the Home and Business Battery Scheme (HBBS) and another $3.1 million to continue the Remote Power System Strategy rollout.

    More than 2200 Territory homes and businesses have used the grant, currently to a maximum of $5000, to install a battery to store the energy generated by roof top solar since 2020.

    The installation of a battery to store solar generated power can save a home $900 a year off their power bill. The batteries also improve the security and reliability of the electricity system by helping to smooth out demand from the grid.

    The Northern Territory has the highest take up of solar battery storage in the country thanks to the Territory Labor Government’s HBBS.

    Data from the Clean Energy Regulator shows the Territory has led the nation in battery installations since 2021. The NT has the highest proportion of solar PV systems installed with a battery at over 30%, compared to the national average of 6%.

    The success of the Home and Business Battery Scheme has had a positive effect on the Territory’s renewable energy industry with $57 million of works contributed to the Territory economy.

    The Remote Power System Strategy is in the planning stage and community engagement is advancing to deliver an average of 70% renewable energy to 72 remote communities provided with electricity through the Indigenous Essential Services program.

    Consultation with Land Councils, regional Government Councils and peak Aboriginal organisations is ongoing.

    The outcomes of consultation will inform the renewables rollout model and the plans for on-country community engagement throughout program development and delivery.

    The RPSS will deliver significant benefits for the Territory and remote Aboriginal communities, including reduced greenhouse gas emissions and noise from diesel-powered generators.

    It will ensure improved electricity supply reliability and employment, contracting and operational opportunities for community-based Aboriginal organisations, businesses and corporations.

    Quotes attributable to Minister for Renewables and Energy Kate Worden:

    “The Territory Labor Government is always working to keep the power bills of households and business lower, and the Home Business and Battery Scheme is one way we are doing that.

    “Installing a battery can save a household $900 off their power bill and reduce our reliance on fossil fuels.

    “The Home and Business Battery Scheme gets Territorians working, with more than 2200 batteries installed since 2020. The scheme has contributed $57 million to our economy.

    Source: Northern Territory Government newsroom


  • 24 Apr 2024 1:55 PM | Stephanie Berlin (Administrator)

    After the recently announced Capital Raise, Research as a Service (RaaS) has published an update report on EEG: "Working through the timeline to first gas in 2025".  

    Please click here to read the full report. 
     

    Please follow the link to his most recent Research & Analyst reports
    Research & Analyst Reports – Empire Energy (empireenergygroup.net)

  • 24 Apr 2024 12:17 PM | Stephanie Berlin (Administrator)

    ADZ Energy’s strategic vision aims to overcome past challenges and reap tangible upstream gains

    Rising from the ashes of Armour Energy, ADZ Energy has fresh owners, money in the bank and a three-year development strategy that aims to boost production and reserves.

    ADZ acquired Armour's Australian assets in January after the latter entered liquidation late last year. Armour had been struggling under a substantial debt burden for many years amid poor financial and operational performance. This led the company to enter receivership in November 2023.

    ADZ — founded by Daniel Liu and Aiden He, who represent two private family investment companies — aims to do what Armour could not: make a broad portfolio of upstream assets profitable.

    ADZ CEO Christian Lange, who transitioned with his team from Armour, spoke to Energy News Bulletin about the new company's A$150 million, three-year road map to success.

    Armour Break

    Armour, a company originally founded in 2009 to pursue an exploration and divestment strategy, struggled to realise the full potential of the decommissioned Kincora gas project after acquiring it from Origin in 2016.

    After the first full year of operations at the Kincora Gas Plant in the financial year 2019-2020, the project experienced consistent production declines.

    Kincora's average gas production plummeted from 9 Tj per day in FY 2019-2020 to 3.8 Tj per day in FY 2022-2023. Oil and condensate production, meanwhile, roughly halved from a little more than 154 barrels per day to just over 77 bpd.

    Lange said his appointment as Armour's CEO in July 2022 came with a mandate to solve Kincora's collapsed production. This collapse, he explained, was the result of the company's lack of experience with production plays.

    Lange said: "Not a great deal of capital was injected into Armour's production licences — the last new well drilled on Kincora was in 2019. This goes a long way to explaining why production has declined there in recent years."

    The problem Lange faced in turning things around at Armour, however, boiled down to a lack of available funding. The executive said: "Having a recovery plan still requires upfront capital, which was a persistent challenge at Armour."

    Despite managing to bring Kincora back onstream, Armour recorded millions in annual losses each year. Its worst was its final financial year, with the company posting a A$21.66 million loss in FY 2022-2023.

    Despite the sizable shadow that Armour's past difficulties cast, Lange is confident that ADZ's more robust financial footing will allow him to deliver on the development plan he and his team initially devised while at Armour, showcasing the assets' full potential in the process.

    Three-Phase Development

    ADZ's investment plan for 2024-2026 amounts to around A$150 million, divided across three equal tranches of A$50 million.

    Shareholders are expected to fund most of the company's first-year activities, with second-year funding coming from a mix of cash flow and shareholder investment. ADZ hopes to have boosted production enough for cash flow to cover its capital and operational expenditures in the third year.

    The first year of investment will be solely devoted to turning Kincora's production around, with ADZ aiming to boost output to 20 Tj per day by the end of 2025. Lange said: "In the first 12 months, which will likely spill over into 2025, because we've had a delayed start to the year, we expect to drill four to five wells at Kincora and conduct a 3D seismic survey."

    ADZ anticipates expanding the Kincora gas processing plant from 20 Tj to 30 Tj per day, though this is a longer-term priority. While Kincora "can wash its own face" in terms of covering operational expenses, ADZ needs the project to cover development costs at its other projects.

    Lange said: "We have two levers to ensure the project can do that: production and price. When [Armour] renegotiated the price of the GSA with Shell last year, we pulled the price lever. Now it's a matter of boosting production, and increasing the plant's capacity to 30Tj per day is part of our longer-term asset strategy, with that investment underwritten by cash flow."

    He added: "We'll continue focusing on boosting Kincora's production in 2025 but hope to widen our focus to our Otway and MacArthur assets that year. From 2026, we expect to have more investment capacity for non-core projects."

    ADZ wants to drill its first well on PEP 161 in Victoria's Otway Basin, which it owns 51%, by 2026. The company estimates the Enterprise North conventional gas prospect could hold hundreds of billions of cubic feet of gas and associated condensate.

    The project's "quick path to commercialisation" has excited the management team. ADZ has three nearby gas processing plants — Lochard Energy's Iona Gas Plant, Beach Energy's Otway Gas Plant or Cooper Energy's Athena Gas Plant — the project can potentially tie into.

    After its Victorian drilling plans, ADZ is set on testing the Glyde discovery in the Macarthur Basin. Glyde is a shallow conventional gas discovery that flowed at 3.3 million cubic feet per day without fracking. However, the company's modelling suggests the discovery could flow up to 6.2 mmcf per day. 

    Armour signed a heads of agreement (HoA) with Lucapa in February 2023 to supply gas from Glyde to the Merlin diamond mine for around 14 years from mid-2025. The mine lies around 20 km from the gas field.

    Lange said: "After [Glyde], comes the Cooper Basin and revisiting Armour's original game plan of derisking plays to drive value for farm-in opportunities. We'd much rather derisk these assets before going to the market. Despite the size of the opportunity, without a discovery in hand, we'd likely only end up with a cheap deal."

    Beyond its immediate plans for the drill bit, however, the company is also conducting a strategic review of many of its exploration assets to trim the fat.

    Strategic Review 

    While Lange stressed the company was not looking to exit any states, he noted that the portfolio had reached an unmanageable size.

    The executive said: "Armour built up a huge portfolio of assets, far larger than it could fund. Holding tenure costs money. I'm currently carrying out a strategic review of ADZ's exploration assets in Queensland, South Australia and Northern Territory as I'm not convinced of the economics of such a large holding."

    ADZ holds interests in 12 PLs, six ATPs and two PCAs in Queensland, two PEPs in Victoria, six EPs and seven EPAs in the Northern Territory, and three PELs and 27 PRLs in South Australia.

    ADZ's acquisition of Armour's assets marks a turning point in the trajectory of these resources. With a fleshed-out recovery roadmap, robust investment plans and a focus on operational efficiency, ADZ is poised to revitalise production.

    The year ahead for the company will serve as a litmus test for the management team's development plans. Can ADZ Energy's strategic vision overcome past challenges, paving the way for tangible upstream gains? Time will tell.

    Source: Energy News Bulletin

  • 23 Apr 2024 4:44 PM | Stephanie Berlin (Administrator)

    Falcon Oil & Gas Ltd. (TSXV: FO, AIM: FOG) is pleased to announce that the Beetaloo Joint venture has signed a Binding Agreement for a long-term Gas Sales Agreement to supply the Northern Territory Government (Buyer) with 14.6 PJ (13.8 BCF) per annum from the proposed Shenandoah South Pilot Project for an initial term of nine years, with a Buyer’s option to extend for a further six-and-a-half years.

    To view the full press release, click here.

    Source: Falcon Oil & Gas Ltd

  • 23 Apr 2024 1:14 PM | Stephanie Berlin (Administrator)

    The Territory Labor Government is securing power for years to come by purchasing gas from the Beetaloo Basin for electricity generation, and backing the growth of the Territory’s on-shore gas industry.  

    The gas arrangements, between the Territory Government and Tamboran Resources, will provide competitively priced gas for the Territory’s electricity generation.

    Once Tamboran secures access to the necessary pipelines and receives all required permits and approvals, supply to the Territory Government becomes unconditional.  

    This historic deal ensures that Territory residents, businesses and industry will share in the benefits of our growing on-shore gas industry by delivering cleaner and more affordable natural gas for power generation.

    The first gas from the Beetaloo Basin that will be delivered to Territory power generators is expected in the first half of 2026.

    The deal will provide gas to Territory power generators for nine years with an option to extend for another six-and-a-half years.

    It comes as Tamboran Resources is working towards reaching a Final Investment Decision on its 40 TJ/d pilot project by mid this year – which is a key milestone in the development of the Beetaloo Basin and growing the Territory’s on-shore gas industry.

    Developing the Beetaloo Basin and boosting our on-shore gas industry will create thousands of work opportunities for Territorians and boost the economy by $17 billion.

    Quotes attributable to Chief Minister Eva Lawler:

    “We’re backing the industries that get the Territory working – and that’s why my Government is supporting the on-shore gas industry.”

    “My common sense plan will make sure that the benefits from Territory gas are spread right across the Territory for local residents, businesses and industry.

    “By making sure that Territory gas powers our electricity generators we are powering the Territory’s future for years to come.”

    Quote attributable to Minister for Mining Mark Monaghan:

    “The Territory is on the cusp of becoming an energy powerhouse and we will make sure that Territorians share in the huge benefits to come from growing the on-shore gas industry.”

    Quote attributable to Minister for Essential Services Kate Worden:

    “We’re focused on making sure we have environmentally sustainable, stable and affordable power for Territorians and Territory businesses – and that’s exactly what this agreement does.”

    Quotes attributable to Managing Director and CEO of Tamboran Resources, Joel Riddle:

    “We are proud to deliver on our commitment to provide the Northern Territory Government with long-term supply of gas from the Beetaloo Basin. Tamboran has always promised that our first gas production from the Basin would be to the benefit of Territorians and we are excited to play our part in boosting energy security in the Northern Territory.

    “This is a transformational development for Tamboran and our partners, after 10 years of hard work and more than A$500 million invested in Beetaloo exploration and appraisal activities. This represents a major milestone and puts Tamboran on a path where revenue from gas sales will support funding our future development phases, including supply to the East Coast and LNG gas markets.

    “The proposed Pilot Project is expected to provide initial royalties to both the Northern Territory Government and Traditional Owners within the region.”

    Source: Northern Territory Government newsroom

  • 23 Apr 2024 9:29 AM | Stephanie Berlin (Administrator)

    Highlights

    • Tamboran and the Beetaloo Joint Venture (BJV) have signed a binding long-term Gas Sales Agreement (GSA) to supply the Northern Territory Government (the Buyer) with 40 TJ per day (~19 TJ per day net to Tamboran) from the proposed Shenandoah South Pilot Project for an initial term of nine years (131.4 PJ Total, ~62.4 PJ net to Tamboran), starting in H1 2026. The Buyer has an option to extend the GSA for a further six-and-a-half years through to 2042.
    • The daily volume under the GSA represents approximately two-thirds of the Northern Territory’s current gas requirements.
    • Gas will be delivered to the APA-owned Amadeus Gas Pipeline (AGP) on a take-or-pay basis at a market-competitive gas price, escalating at 100% of the Consumer Price Index (CPI). The Buyer’s extension option is at a slightly discounted price.
    • The binding supply commitment is conditional on the BJV entering into a binding Gas Transportation Agreement with APA on the proposed Sturt Plateau Pipeline, a binding Gas Processing Agreement for the proposed Sturt Plateau Compression Facility, reaching a Final Investment Decision (FID), and receiving key regulatory and stakeholder approvals.
    • Tamboran will be targeting FID on the proposed Shenandoah South Pilot Project in mid-2024, with first production planned by H1 2026.
    • Tamboran holds a 47.5% working intertest in the 51,200-acre area that will include the wells required to deliver the proposed Pilot Project volumes.

    To view the full ASX announcement, click here.

    Source: Tamboran Resources

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