Minister for Resources and Northern Australia Matt Canavan has applauded the first drilling activity in the Beetaloo Basin since the lifting of the moratorium on the use of hydraulic fracturing in 2018, with Origin Energy successfully spudding the Kyalla 117 well.
“Exploration and production in the Beetaloo Basin means more jobs in Northern Australia’s resources sector and opportunities for local businesses. Dozens of people are currently employed even at this early gas exploration phase, but that number will grow as activity increases in the basin and projects move from exploration to development,” Mr Canavan said.
“The Beetaloo Sub-basin has the potential to be a new world-class gas province with an estimated 178,200 PJ of shale gas, which is larger than any of the North West Shelf conventional gas resources, while over 25 years, a moderate scale of onshore gas development could create more than 6500 jobs and be worth more than $9 billion nationally. This is an enormous opportunity for the Barkly Region, the Northern Territory and the entire Australian economy.”
The exploration permits held by Origin are located around 600km south-east of Darwin between Elliott and Daly Waters.
Kyalla 117 is the first of two new appraisal wells to be drilled and fracture stimulated to help determine the potential of the resource in the Beetaloo Basin. The Beetaloo Exploration Project is a joint venture between Origin as Operator (70%) and Falcon Oil and Gas (30%).
“I look forward to further exploration and production in the Beetaloo Basin and indeed across the country. Queensland and now the NT is proving that the oil and gas industry can enhance prosperity and strengthen Australia’s energy security. It’s time that other states realise this and lift their unscientific bans and moratoria,” Mr Canavan concluded.