Central entered into a three stage farmout agreement with Santos in September 2012 whereby Santos would become operator of an agreed area, referred to as EP 115NMB, located immediately northwest of the Mereenie oil and gas field, whilst operatorship of the remainder of EP 115 was retained by Central.
|Location||Operator||CTP Consolidation Entity||Other JV Participants|
|EP 115NMB||2,647||Amadeus Basin NT||Santos||60||60||Santos||40|
Description and Geology
The structural trend containing the Mereenie Oil and Gas Field continues northwest into EP 115 for over 15 km, eventually rising towards the northern margin of the Amadeus Basin. The geology is a comparative section of Pacoota Sandstone and overlying Stairway Sandstone section with the Stokes Siltstone as a regional seal. Oil and gas is sourced from the Horn Valley Siltstone which is mature for oil in the western part of EP 115 as evidenced by the Surprise Oil Field, becoming more mature to the east as evidenced by Mereenie Oil and Gas Field. This formation increases in thickness northwards to a maximum of over 120 metres, has organic carbon content levels of typically 1% to 4%, but up to 9%, and contains calcareous stringers that could be hydrocarbon bearing and attractive targets for production.
Central entered into a three stage farmout agreement with Santos in September 2012 whereby Santos would become operator of an agreed area, referred to as EP 115NMB, located immediately northwest of the Mereenie Oil and Gas Field, whilst operatorship of the remainder of EP 115 was retained by Central.
Central currently holds a 60% registered and beneficial interest in EP 115NMB.
Northwest Mereenie 1 was drilled in 1970 approximately 8 km from Mereenie 1 to test the northwest limit of the field, and evaluate the possibility of an independent structural or stratigraphic trap. A modest gas flare was encountered in the lower Stairway Sandstone, and water was recovered from tight Pacoota Sandstone reservoirs. In 2013, the joint venture acquired 323 km 2D seismic data and reprocessed over 500 km of vintage 2D seismic, seeking to define a structural culmination. Conventional exploration opportunities in this block comprise:
- Fault bounded structural culminations.
- Sub-thrust traps formed where known reservoirs are juxtaposed against the southern fault and/or sealing lithologies.
- The potential for an unconventional “continuous resource” play is recognised in the Horn Valley Siltstone (HVS), source of oil and gas in Mereenie and Palm Valley fields. The HVS developed on the flanks either side of the anticlinal trend are prospective unconventional reservoir targets.