Industry News

An independent report has forecast a bright decade ahead for the Northern Territory courtesy of INPEX-operated Ichthys LNG.

The assessment, by leading independent economics firm ACIL Allen, outlines social and economic benefits to the Northern Territory up to 2030.

ACIL Allen considered business indicators such as operational and capital expenditure, employment and local contract values to assess Ichthys LNG’s contribution to Gross Territory Product, wages and salaries paid to Territory workers, population growth, social services and the valuable contribution of volunteers in the community.

Minister for Mining and Industry, Nicole Manison welcomed the study and the economic and social contribution INPEX-operated Ichthys LNG is continuing to make to the Territory.

“It is fantastic to see that Ichthys LNG continues to deliver local jobs and real benefits for Territorians.

“It’s because of developments like this we have world-class jobs right here and the future is bright for this industry, meaning even more jobs for Territorians and benefits to local businesses,” Minister Mansion said.

INPEX General Manager Northern Territory Roland Houareau said the findings identify significant multi-generational benefits for the Territory’s community and local businesses.

Roland said INPEX and its joint venture participants were proud of the contribution Ichthys LNG continues to make to the Territory, noting that for every full-time job created by Ichthys LNG, a further two jobs are created at another business in Darwin.

“The taxation payments we’re making to the Northern Territory Government are substantial and equivalent to funding the development of two new primary schools every year over the 10-year study period.

“It’s a privilege for INPEX to call the Northern Territory our second home, and to contribute to the Territory’s economic growth, with about 550 Ichthys LNG families active in the Darwin community.”

Roland said the contribution of the Ichthys LNG workforce to local communities and organisations is outstanding and includes more than 50,000 hours of volunteering every year.

“Many more people benefit from Ichthys LNG than we initially anticipated, and the social and economic benefits will continue to flow to local businesses and the community for decades to come,” Roland said.

Source: INPEX Media Centre - https://www.inpex.com.au/

Bayu-Undan Joint Venture and Timor-Leste’s ANPM sign MOU on Bayu-Undan Carbon Capture and Storage

Santos, as operator of the Bayu-Undan Joint Venture, today announced it had signed a Memorandum of Understanding (MOU) with the Timor-Leste regulator Autoridade Nacional do Petróleo e Minerais (ANPM) to progress Carbon Capture and Storage (CCS) at Bayu-Undan in the Timor Sea.

The MOU details the areas the Bayu-Undan Joint Venture and the ANPM, with the support of the Timor-Leste Government, will work on collaboratively to test the viability of repurposing the existing Bayu-Undan facilities and using the Bayu-Undan reservoir for CCS. These include sharing technical, operational and commercial information, assessing the regulatory framework, evaluating local capacity opportunities and establishing a decision timeline.

Santos Managing Director and Chief Executive Officer Kevin Gallagher said: “We believe the Bayu-Undan reservoir and facilities have the potential to be a world-leading CCS project and we are delighted to be working together with the ANPM and the Timor-Leste Government to progress this opportunity.

“CCS is recognised by the International Energy Agency and the Intergovernmental Panel on Climate Change as being a critical technology to achieve the world’s climate goals. Santos’ experience with the globally-competitive Moomba CCS project in outback South Australia will bring invaluable experience to the project.

“CCS at Bayu-Undan has potential capacity to safely and permanently store approximately 10 million tonnes per annum of CO2 and could build a new job-creating and revenue-generating industry for Timor-Leste.

“This has the potential to be a win-win; good for the environment, good for industry and opening up an exciting opportunity for the people of Timor-Leste, so we look forward to progressing this MOU in partnership with the ANPM.”

ANPM President Florentino Soares Ferreira said: “This is a milestone for Timor-Leste. With the signing of the CCS MOU between Santos (representing its Joint Venture partners) and ANPM proves that Timor-Leste is proactively taking the lead in integrating its oil and gas sector towards Timor-Leste’s commitment of accelerating decarbonization and meeting the U.N. net zero target by 2050.

“Despite Timor-Leste being one of the lowest emission countries in the world, and that the Paris Agreement provides waiver or concession to the developing and less developed nations such as Timor-Leste; we understand that carbon trading or carbon credits market is an integral part of our future economy. We don’t want to miss this opportunity; and I believe this will become one of the largest CCS projects in the Southern Hemisphere. This will enable both Timor-Leste and Australia to exploit its untapped resources in meeting energy demands as well as offsetting its carbon emissions and transitioning towards carbon neutral economies.”

Santos has a 43.4% operated interest in Bayu-Undan. The remaining interest is held by SK E&S (25%), INPEX (11.4%), Eni (11%) and Tokyo Timor Sea Resources (9.2%)

Source: Santos Newsroom (www.santos.com)

Positive results from extended production testing at the Amungee NW-1 well in the Northern Territory’s Beetaloo Basin have increased Origin’s understanding of the Velkerri dry gas play.

Average gas rates of 1.23 million cubic feet per day (1.23 MMscf/d) have been observed over the first three weeks of production testing, however importantly the majority of these flows came from only a portion of the well.

Specialist diagnostic equipment has been used to determine the extent to which these observed gas flows come from different fracture stimulation stages before or beyond a certain point in the well that was thought to be restricting the flow of gas across the  full production zone. Between 5%-15% of gas flow are coming from the stages beyond this point with the majority of flows measured, between 85%-95%, coming from the first 200m section of the well.

The result from this section, which has been independently verified, can now reasonably be considered to represent the deliverability that could be achieved across the full production zone of this and further wells drilled and fracture stimulated in the same Velkerri shale formation.  It suggests a normalised gas flow rate equivalent of between 5.2 and 5.8 million cubic feet per day (MMscf/d) per 1,000m of lateral.

It suggests a normalised gas flow rate equivalent of between 5.2 and 5.8 million cubic feet per day (MMscf/d) per 1,000m of lateral. A typical future production well may have a lateral production section up to 3,000m long.

Origin General Manager Beetaloo and Growth Assets, Mr Chris White, said, “This is a  positive result that supports the decision to undertake a second extended production test at the Amungee well as part of this year’s work program.

“These results significantly increase our assessment of potential deliverability and commerciality of future wells in this area.

“While further work will be required in coming years to determine if the result can be reproduced on a larger scale, this result indicates the Velkerri dry gas play may be in line with commercial shale plays around the world, based on normalised production rates,” Mr White said.

The extended production test at Amungee is continuing.

Published on September 6, 2021

By: The Origin Beetaloo Exploration Project

Empire Energy is pleased to provide shareholders with an update regarding the the operations in Empire’s 100% owned and operated EP187 tenement, located onshore Northern Territory in the Beetaloo Sub-basin. 

To read the full ASX Announcement click here. 

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Empire Energy Groups' Managing Director Alex Underwood interviewed by Matt Birney on the Bulls N’ Bears Report about Empire’s exquisite land acquisition in the Northern Territory’s Beetaloo gas basin that sent its in-ground gas resources in the region skyrocketing.

Sourced from 3AW, Listen via stream below:  

Operational Update – EP 161 Tanumbirini 2H Well Successfully Drilled

Highlights

• Tanumbirini 2H (“T2H”) successfully drilled to a total depth of 4,598 metres.

• T2H encountered significant gas shows and pressures that are typically strong indicators of commercial flow rates.

• Drilling of T2H is complete and the drilling of the Tanumbirini 3H (“T3H”) will commence shortly.

• Following the completion of the drilling phase of T3H, both wells will be fracture stimulated and flow tested.

Tamboran Resources Limited (ASX: TBN) Managing Director and CEO, Joel Riddle, said:

“We are pleased to report that the T2H well in EP 161, operated by our joint venture partner Santos QNT Pty Ltd (“Santos”), was drilled to a total depth of 4,598 metres after successfully completing the horizontal section in over 1,000 metres of Mid-Velkerri ‘B’ shale.

“The results to date have been encouraging, with T2H encountering strong gas shows and pressures. This supports our pre-drill understanding that natural fractures are present at this location, the deepest part of the core Beetaloo Sub-basin. Natural fractures, strong pressures and gas flows during this stage of drilling are typically indicative of a shale that will respond positively to fracture stimulation. The presence of significant gas shows and pressure are consistent with the results from Tanumbirini 1, a vertical well which was successfully flow tested in 2020. Production casing in T2H has been set and cemented.

“The Easternwell 106 rig will commence drilling T3H shortly. Following the completion of T3H, both wells will be re-entered, fracture stimulated, and flow tested with results expected to be announced prior to the end of 2021. “We are gaining valuable data and learnings from the current T2H and T3H drilling program in EP 161 with Santos. This information will be incorporated into the well design for Maverick 1H, the well that Tamboran intends to drill in EP 136, its 100% owned and operated permit, in 2022.”

For full report and results click here

The Territory Labor Government has released a new round of funding to support local businesses affected by the Top End’s latest COVID-19 lockdown, with immediate payments now available.

The payment is available to businesses located in the Darwin, Palmerston and Litchfield Council areas, the Wagait and Belyuen Shires, Dundee, Bynoe, Charlotte, Cox Peninsula, and the municipality of Katherine, including Tindal.

The program is open to Northern Territory small businesses, not-for-profits or incorporated associations which are based in these areas, and the application process is simple, easy and will involve a declaration on behalf of the applicant.

During the first round of lockdown payments the Territory Labor Government supported more than 2,100 Territory businesses with $2.2 million in funding handed out.

The Territory Business Lockdown Payment is a one-off payment of $1000, designed to support small businesses that have either ceased trading or suffered a revenue loss of 50% or greater during the lockdown.

Eligible small businesses are those with a turnover of less than $10 million and less than 20 full-time-equivalent staff, and who have had to stop trading, or suffered a 50 per cent drop in turnover during lockdown. 

The payment will help cover ongoing costs.

For more information for businesses, or to access the payments, please visit: https://businessrecovery.nt.gov.au/businesses/territory-business-lockdown-payment-program.

Michael Gunner - Chief Minister of the Northern Territory

Paul Kirby - Minister for Small Business

This morning, the Security and Emergency Management Committee (SEMC) made the decision under the Northern Territory pandemic plan to lock down part of the NT community. 

Effective from 12.01pm today, the below areas will enter a full lockdown for 72 hours:

City of Darwin

City of Palmerston

Litchfield Council

Wagait Shire

Belyuen Shire

Dundee

Bynoe

Charlotte

Cox Peninsula

Municipality of Katherine including Tindal

The lockdown follows confirmation of a COVID-19 positive case last night of a man in his 30’s who had relocated to the Territory for work. The man is currently isolating in Katherine and will be transferred to the Centre for National Resilience today.

As an international arrival, he completed 14-days quarantine in Sydney on 12 August 2021 and returned multiple negative test results, the last one on the 10 August 2021.  He transited from Sydney to Darwin via Canberra on Thursday (12 August 2021).

He landed in Darwin at approximately midnight Thursday night-Friday morning (12-13 August 2021) and drove to Katherine on Sunday afternoon after having his mandatory three-day post quarantine test at the RDH Pandemic clinic.

This test subsequently returned a positive last night. This man is asymptomatic and it is not known where he contracted COVID-19 or what strain it is.

The man visited various locations in the Darwin CBD and Katherine for limited periods of time. The exposure site locations are available at coronavirus.nt.gov.au 

From 12:01pm today, residents from affected areas must stay at home for the 72 hour lockdown period and people are only permitted to leave home for the following five reasons:

1.   Medical treatment, including COVID testing or vaccination

2.   For essential goods and services, like groceries and medications

3.   For work that is considered essential

4.   For one hour of outdoor exercise a day within 5 km from your home with one other person or people from your house

5.   To provide care and support to a family member or person who cannot support themselves.

Schools in affected areas will remain open only for the children of essential workers.

For everyone in the lockdown area, masks must be worn if you leave your place of residence for one of these five reasons.

Your place of residence is where you live right now.

Anyone caught breaching today’s directions – including not wearing a mask – faces a $5,000 fine.

Police will be establishing interception points to control travel in and out of these regions.

Territorians in the lockdown areas should not travel – including out of the Territory – unless it is for one of the five reasons.

Non-Territorians are permitted to leave the Territory.

Update from SecureNT

Department of the Chief Minister and Cabinet

To continue to drive investment and achieve a $40 billion economy by 2030, the Territory Labor Government has announced a new partnership to accelerate the Territory’s battery materials and manufacturing industry. 

The $500,000 investment will see the Government work with the Future Battery Industries Cooperative Research Centre (FBICRC) over a four year period.

The partnership will see the Territory participate in industry research, which will better inform investors about the Territory’s capabilities and battery value chain – the steps involved in manufacturing, distributing and selling batteries to end users. 

It will play an important role in identifying the Territory’s best opportunities to capitalise in an emerging domestic and global market, and link us with the best partners to grow local business and manufacturing.

This initiative is a key part of the Territory’s strengthened approach to winning investment and supporting economic growth. It will play a significant step in supporting the development of new mines and new manufacturing industry.

The FBICRC benefits from the shared knowledge of 60 participants who combined have contributed in excess of $120 million, key insights and a joint approach to solving key technical and market development challenges in growing new battery industries in Australia from mining to manufacture to recycling and re-use, as well as tackling critical topics like sustainability and responsible sourcing.

The battery industry has been identified as an opportunity to add value to the Territory’s abundant natural resources and leverage its proximity to export markets throughout the Indo-Pacific.

Analysts have forecast an increase in the global demand for batteries as the world moves towards 2030 and 2050 emissions reduction goals.

From:

Michael Gunner - Chief Minister of the Northern Territory

Eva Lawler - Minister for Renewables and Energy