Industry News

Mosman Oil and Gas Ltd (AIM:MSMN) has agreed a farm-in deal for its EP 145 project in Australia’s Northern Territory with Greenvale Gold.

Greenvale can earn up to a 75% stake in the project through the payment of A$160,000 cash, paying for A$2 million of seismic as part of a work programme and a well with costs capped at A$5.5 million.

Mosman added it had identified a drilling target at 1,500 metres (m) and estimated the cost of drilling that well to be in the order of A$5 million.

Costs above the A$5.5 million cap will be shared 75% by Greenvale and 25% by Mosman.  

Regulatory approvals are expected by 30 January 2024, after which the agreement can be terminated by either party if they have not been received.

Mosman added it considers the farm-in the best outcome as it eliminates the need to raise additional capital.

A spin-out and initial public offering (IPO) as had been previously suggested would have involved significant costs, Mosman added.

Andy Carroll, chief executive: added: "We are pleased to have reached agreement with Greenvale who we see as a strong Joint Venture partner to work with in Australia.

“This agreement delivers on funding exploration and is validation of the helium, hydrogen and hydrocarbon potential of EP 145."

Shares rose 18% on the announcement.

Source: Proactive Investors

Minister for Local Government Chansey Paech has today placed the Barkly Regional Council under official management, and all elected members have been suspended from office.

The Minister has made this decision because he is satisfied there are, or may be, serious deficiencies in the conduct of the Council’s affairs.

Peter Holt has been appointed Official Manager and now holds the powers of the elected members to ensure the business of Council continues without interruption.

Ruth Morley has been appointed as Investigator to examine the affairs of the Council and will report her findings to the Minister by 12 March 2024.

During the period Council is under official management, elected members will not be able to conduct any official Council business, and all allowances and other entitlements will cease.  This process will not affect staff members.

The Barkly Regional Council serves around 8000 constituents spanning approximately 325,000 square kilometres from Newcastle Waters in the north to Tara in the south.

Tennant Creek is the regional centre of the local government area, which also includes Arlparra, Ampilatwatja, Ali Curung, Alpurrurulam, Wutunugurra, and Elliott.

Quotes attributable to Minister for Local Government Chansey Paech:

“Official management will ensure the continuance of governance at the Barkly Regional Council; and establish its position in regards to its fiscal management and service delivery obligations.

“I acknowledge the remoteness of communities served by the Barkly Regional Council provides unique geographic and demographic challenges, but it is imperative that the Council is able to operate effectively so residents receive the services they need and deserve.

“My decision today paves the way for better-functioning services across communities and a more stable future for the people of the Barkly region.”

Source: NT Government Newsroom

EP 98/117 Operational Update: A3H drilled in record time in less than 18 days

Highlights

• The Amungee NW 3H (A3H) well in 38.75 per cent owned exploration permit EP 98 has reached a Total Depth (TD) of 3,837 metres (12,589 feet), including a 1,100-metre (3,609 feet) horizontal section within the Mid Velkerri B Shale.

• The well intersected the target Mid Velkerri B shale at a total vertical depth (TVD) of 2,272 metres (7,454 feet) and encountered significant gas shows within the shale, in line with pre-drill expectation.

• Drilling took in 17.9 days (spud to TD), 20 days faster than the Amungee 2H (A2H) well, at an average daily rate of 214 metres per day (702 feet per day). This demonstrates the improved drilling efficiency of Helmerich & Payne, Inc.’s (H&P), (NYSE: HP), super-spec FlexRig® Flex 3 Rig.

• Total estimated cost for the drilling and cementing of the A3H well is A$12.6 million, in line with forecast and ~30 per cent lower cost compared to the A2H well. The stimulation program is planned for the second quarter of 2024, following the end of the Northern Territory wet season.

• Stimulation activities for the Shenandoah South 1H (SS1H) well in EP 117 are on track to commence in November 2023 with IP30 flow rates planned for early 2024, subject to successful completion of the stimulation program and weather delays.

Source: Tamboran Resources

To view the full ASX Announcement, click here.

Joint media release with Minister for the Environment and Water the Hon Tanya Plibersek MP.

The Australian Government is working to secure Australia's future water resources through a first of its kind stock take of the nation’s underground water reservoirs. 

The National Hydrogeological Inventory, developed by Geoscience Australia, has mapped Australia's major groundwater-bearing basins and geological provinces. 

The inventory paints a picture of the communities, industries and environments that rely on groundwater.

Minister for Resources and Minister for Northern Australia, Madeleine King said that despite Australia’s reliance on groundwater, experts still had a long way to go in their knowledge and understanding of groundwater systems. 

“Groundwater is critical to our national water security and for many areas of Australia has been the only constant source of water,” Minister King said. 

“The Inventory, developed through Geoscience Australia’s Exploring for the Future Program, will assist decision-making and help us plan future investment in groundwater.” 

Minister for Environment and Water Tanya Plibersek said that the Inventory was an example of how the Government is working to better understand and protect our environment for future generations.

“The impacts of climate change will leave lasting effects on surface water, so now more than ever we need to understand the lifecycle of groundwater,” Minister Plibersek said.

“The new National Hydrogeological Inventory will provide improved access to information on both shallow and deep groundwater systems which support regional and remote community water supplies, urban water supply and our precious plants and animals.”

Geoscience Australia’s Dr Steve Lewis, a groundwater geologist, said one of the most intriguing elements of groundwater is the occurrence of recharge - the process by which water moves downwards through the Earth's surface to become groundwater, recharging the aquifers within the basin.  

“Developing an understanding of groundwater recharge processes is fundamental for developing a water balance, and for the sustainable management of water resources,” Dr Lewis said.

“Most recently we have been studying recharge processes in the Great Artesian Basin through mapping surface and near-surface structures to understand how water enters the ground to recharge the basin aquifers. 

“This basin is the most significant hydrogeological system in the country covering more than 1.7 million square kilometres across Queensland, New South Wales, South Australia and the Northern Territory.

“For each hydrogeological region, a range of consistent and up-to-date information is compiled, relevant to understanding the geology, geography, hydrogeology including groundwater resources and systems,” Dr Lewis said.  

The new National Hydrogeological Inventory will collate these studies to provide a greater understanding of Australia’s water systems, allowing a national view of groundwater resources across Australia. You can view the inventory here.

Source: 

The Hon Madeleine King MP

Minister for Resources and Minister for Northern Australia

Exact Contracting will soon commence the next stage of upgrades to the Carpentaria Highway which will take place between chainage 50 km and chainage 109 km.

The upgrades will involve sealing, reconstructing, widening and lifting as well as flood immunity improvements. The road will be sealed to a two lane standard, offering substantial safety benefits for road users.

The next stage of construction will commence in early October 2023 and be completed in late 2024.

Construction will take place 7 days a week between the hours of 6am to 6pm. Some night works may be required.

Detours and traffic management will be in place at times throughout the project.

About the project

The Carpentaria Highway is a key access road to the town of Borroloola and surrounding regions, and an important service route for the pastoral, tourism, agricultural and mining sectors, including the Beetaloo Sub-basin.

$150 million has been allocated by the Australian and Northern Territory governments to deliver upgrades on the Carpentaria Highway over 4 years.

The upgrades to Carpentaria Highway will complement multiple strategic projects currently underway that aim to bring the Territory’s vision to become a world-class gas production, manufacturing and services hub to reality.

The benefits of the project include:

• improved efficiency and network reliability
• improved freight productivity and access to freight gateways
• improved road safety for all road users, in line with Towards Zero Road Safety Action Plan
• improved connectivity between people with jobs and services, and goods with markets
• improved flood immunity, thereby reducing annual road closures
• improved access to health and social services for remote and Aboriginal communities
• increased Aboriginal employment and business supplier use.

For further information, visit dipl.nt.gov.au/projects, email bmr.dipl@nt.gov.au or phone 08 8924 7118.

In 2019-20, the direct value of the maritime industry to the Territory's economy was $184 million, with the sector expected to grow to $347 million by 2030.

The new Maritime Industry Development Plan is being pulled together to provide a framework to grow the size, scope, capability and commercial sustainability of the Territory's maritime sector.

NT chief minister Natasha Fyles said the maritime sector is seen as a key enabler for a range of industries including oil and gas, defence and border protection, agribusiness, recreational and commercial fishing and tourism.

The industry currently employs 980 full time workers, which is anticipated to surge to at 1,490 by 2030.

The Maritime Industry Development Plan includes the development of the Marine Industry Park, Darwin Ship Lift, Middle Arm Sustainable Development Precinct and a holistic approach to ports throughout the Territory.

The Chief Minister said the Darwin Ship Lift and Marine Industry Park will become the centrepiece of the Territory's maritime industry, paving the way for hundreds of jobs and positioning Darwin as a major international and national player in the marine services industry.

She said the government's vision is for the Territory to be a leading hub for maritime service, supply and sustainment in the Indo-Pacific region.

The key focus areas include; developing strategic infrastructure by investing in maintenance, freight and connectivity-related infrastructure to drive future industrial expansion; growing the Territory's maritime industry and working together with industry, the Australian Government and the community to sustainably grow the maritime industry; and developing local capability and capacity by ensuring Territory businesses are positioned to take advantage of an expanding maritime industry; and

It will also focus on stimulating growth in the regions: Developing the regional maritime industry to unlock new opportunities for regional communities.

"The maritime industry delivers direct jobs, opportunities and investment for the Territory - employing close to 1000 full time workers, with that number anticipated to grow.

"Darwin is strategically significant, being centrally located on the Northern Australian coastline we have the capability to be the leading destination of new and current industries," Fyles said.

LNG support hub

In recent years the Territory has investigated the opportunity for it to be a major global gas supplier, delivering on increasing demands for clean, affordable energy and creating long-term economic growth and more jobs.

The government's vision its that by 2030 the Territory will be a world class gas production, manufacturing and services hub.

Supporting this, it has developed a 5 point plan to:

• expand Darwin's LNG hub

• grow the service and supply industry

• establish a gas-based processing and manufacturing hub

• grow local research, innovation and training capacity

• contribute to Australia's energy security.

It has also developed a goal that by 2025 local participation in the gas industry supply chain will be at least 50%.

This has been assessed to have the potential to add an additional $1 billion to the Territory economy over the next 10 years.

Source: Energy News Bulletin

The Australian Government has released a discussion paper and opened consultations on a national Future Gas Strategy. 

Minister for Resources and Northern Australia Madeleine King said Australia’s gas policy settings were important for Australia’s energy security, for business and industry, for the environment and for local economies. 

Minister King said the strategy, announced in the May Budget will help government, industry and households make decisions about the future role of gas.

“The Future Gas Strategy will ensure Australia has the long-term policy clarity needed to support decision across communities, industry and governments,” Minister King said. 

“The role of gas will change as the world decarbonises – both in Australia’s energy mix and in the energy use of our trading partners.”

Minister King said gas was essential to modern supply chains which connected Australia in complex ways with trade and investment partners, creating essential goods, services and jobs at home and abroad.

“We need to ensure gas demand decreases faster than supply through the energy transition,” Minister King said. 

“Gas shortages, supply disruptions and high prices are among the consequences of reducing supply faster than demand. 

“These consequences disproportionately impact those who can least afford them, worsening poverty and inequality.”

Minister King said the strategy would be informed by widespread consultations with industry, international trade and investment partners, and the Australian public.

The strategy is due to be finalised next year.

The discussion paper is available on the Department of Industry, Science and Resources consultation hub page.

Source: 

The Hon Madeleine King MP

Minister for Resources and Minister for Northern Australia 

Avenira Limited (ASX: AEV) is pleased to announce that it has entered into formal agreements with its technology partner Advanced Lithium Electrochemistry Ltd (‘Aleees’) (TWSE: 5227) granting Avenira with the right to use Aleees’ intellectual property for the manufacture and global distribution of Lithium Ferro Phosphate (LFP) cathode active material.

The two agreements, a License and Technology Transfer Agreement and a Subscription Agreement, were signed in Darwin in front of Northern Territory Chief Minister, Natasha Fyles and set out the terms for Avenira’s use of the technology for its LFP Battery Cathode Manufacturing Plant in Darwin. The formal agreements follow the signing of a non-binding MOU with Aleees in September 2022 to work towards the development of a Lithium Iron Phosphate (LFP) battery cathode manufacturing plant in Darwin using Avenira’s flagship Wonarah Phosphate Project1 .

Taiwan-based Aleees is a globally recognised LFP battery material manufacturer and one of the few companies outside China with complete LFP cathode material manufacturing capability and patents for electric vehicle and energy storage systems. Aleees has deep industry connections with offtakers in Asia and will provide management support during the development and operations of the LFP Plant.

Avenira and Aleees are working closely with the Northern Territory Government to establish Avenira’s proposed LFP Plant in Darwin’s Middle Arm Sustainable Development Precinct. The Avenira-Aleees relationship has the support of a three-way MOU with the NT Government2 , under which the Northern Territory Government has committed to work proactively with Avenira and Aleees to assist and advise where appropriate in relation to necessary infrastructure including water, energy, power, telecommunications, road, port and rail access and service requirements.

To view full ASX announcement, click here.

Falcon Oil & Gas Ltd. (TSXV: FO, AIM: FOG) is pleased to announce that drilling operations on the Shenandoah South 1H (“SS1H”) well have been successfully completed with Falcon Oil & Gas Australia Limited’s joint venture partner, Tamboran (B2) Pty Limited.

The well has been drilled to a total measured depth (“TD”) of 4,300 metres, including a horizontal section over 1,074m in length in the Amungee Member B-shale, with casing and cementing also complete.

As noted previously for SS1H:

• Logging of the Amungee Member B-shale formation indicates potentially higher porosity and gas saturation relative to other wells drilled targeting the same formation.

• Initial evaluation confirms reservoir continuity of the Amungee Member B-shale over 150 kilometres between Amungee NW-2H (“A2H”) and Beetaloo W-1 wells. This includes a target development area of approximately 1 million acres where the shale depth exceeds 2,700 metres.

• A stimulation program of up to 10 stages over a 500-metre section is planned to commence in the fourth quarter of 2023.

The Helmerich & Payne (NYSE: HP) super spec FlexRig® Flex 3 rig will now be mobilised to the Amungee NW-3H (“A3H”) well site which will be drilled from the same pad as A2H.  The A3H well is the second of the two well programme in 2023 and will target the Amungee Member B-Shale at an estimated depth of 2,450 metres TVD (total vertical depth), with spudding of the well expected by the end of September 2023. Falcon Australia will participate at its full 22.5% interest.

Philip O’Quigley, CEO of Falcon commented:

“We are delighted to have successfully completed the SS1H horizontal well section and we now look forward to the next phase of operations with the stimulation and extended production testing of the well.  We will continue to update the market as results become available.”

NOMAD Name Change

The Company announces that its nominated adviser (NOMAD) and broker has changed its name from Cenkos Securities plc to Cavendish Securities plc following completion of its own corporate merger.

Ends.

Source: Falcon Oil & Gas Ltd

The Territory’s top engineers and engineering projects have been honoured at the 2023 Engineers Australia Excellence Awards – People & Projects Northern Division, which was held at the Darwin Hilton.

“The Engineers Australia Excellence Awards are not just about celebrating the best of engineering. They remind us of the consistent impact engineers have on our daily lives, said Jan Irvine, Engineers Australia GM NT and SA.

“These awards provide a platform to both highlight their groundbreaking work and advocate for the engineering profession, laying a foundation and inspiration for those coming after them. We are not just applauding their achievements, but also setting a standard and vision for the future of engineering.”

Northern Project of the Year
Jabiru Hybrid Renewable Project by EDL

The Jabiru Hybrid Renewable Project was unanimously awarded this year’s Engineers Australia Project Award. This power system solution demonstrated community and cultural engagement in design, construct and operational phases and innovative optimized control systems maximizing solar and battery use with the security of diesel backup during periods of low solar penetration. With estimated savings of over 1.7million litres of diesel fuel, this project exemplifies a low-cost solution to many of Australia’s remote power challenges by delivering reliable, affordable and secure power to isolated communities.

Northern Professional Engineer of the Year
Krishnan Kannoorpatti

Krishnan Kannoorpatti is an expert in materials, corrosion and manufacturing engineering. He has delivered over 70 research papers which have been widely cited, with many concepts being applied in the aviation and shipbuilding industries.  His passion for the engineering profession is exemplified by his participation and drive on technical committees and industry councils, and he has successfully pursued funding to further training outcomes for the next generation of advanced manufacturing engineers.

Northern Emerging Professional Engineer of the Year
Hooman Mehdizadeh Rad

Hooman Mehdizadeh Rad is an emerging engineer with a passion for improving local outcomes for societal problems. Hooman has successfully navigated the pathway between academia and industry with his research into solar cell technology and zero energy buildings being widely published, with practical applications for both policy writers and manufacturers. He is an active leader on technical and industry committees and college board and his lobbying for grant funding has realised improved advanced manufacturing facilities for Charles Darwin University students.

The Engineers Australia Excellence Awards seeks to recognise and reward outstanding achievement in engineering. Local winners will go on to represent their division at the national awards in Melbourne on 29 November 2023.

Source: https://petroleumaustralia.com.au/