www.nre.vic.gov.au/minpet/ Victorian Supplement 2003

MINISTER’S STATEMENT OIL AND GAS VALUABLE CONTRIBUTORS TO VICTORIAN AND NATIONAL ECONOMIES

ollowing the Bracks Government's success at the recent state election, I am very pleased and honoured to be the new Minister for Energy Industries and Resources. I have a great interest in the Fportfolio and look forward to building on the achievements made by the Bracks Government to date. Under the leadership of my predecessor, the Hon Candy Broad, the Bracks Government has overseen exciting developments in the petroleum sector. Once again there has been an increase in exploration expenditure and acreage awarded in 2002 in the Otway and Gippsland Basins which, over the six year term of the permits, has earmarked $230 m of exploration expenditure.

Last year also saw completion of the Bream A and Patricia Baleen gas development projects and the Tasmanian natural gas pipeline, and commencement of construction of the SEA Gas pipeline and the Minerva and BassGas field developments, while the Geographe-Thylacine project commenced its environmental assessment.

These developments will bring more than 600 TJ of additional capacity to the market per day. The additional capacity, the fact that it is delivered through multiple distributed gas plants, and the interconnection with other markets and fields will deliver an unprecedented security of supply to Victorian households and businesses.

In addition to facilitating approvals for projects, my department has been consulting on re-writing the Pipelines Act 1967 and has developed a proposal for reform based on that consultation. The new Act is intended to deliver a legislative response that is consistent with the national gas reform agenda and at the same time protects the rights of landowners.

I would also like to take this opportunity to thank those in the industry who contributed to this supplement. Together with the Department of Primary Industries' acreage summaries, the supplement continues to be a useful reference to activities undertaken over the past year.

The Bracks Government recognises the valuable contribution that oil and gas make to both the Victorian and the national economies. In its second term, we will continue to facilitate and encourage the development of the industry for all Victorians while meeting the social and environmental expectations of the community.

Hon Theo Theophanous Minister for Energy Industries and Resources

CONTENTS

Minister's Statement ...... IFC Geographe and Thylacine Discoveries on Track Towards Petroleum Branches of Minerals & Petroleum (M&P) ...... 1 Development Decisions Woodside Energy Ltd ...... 11 EXPLORATION ACTIVITIES 2003 Acreage Release and Industry Activities BASIN STUDIES GROUP UPDATE Maher Megallaa...... 2 Dr Mike Woollands, Hywel Thomas and Dr Tom Bernecker. . . . . 12 Reprocessing Promises New Hydrocarbon Potential For The Near Shore Gippsland 2003 Acreage PETROLEUM RESOURCES & PRODUCTION Fugro Multi Client Services ...... 4 Petroleum Resources, Production and Drilling Activities In Lakes Oil – Exploration Programs In Victoria During 2001/02 Lakes Oil NL ...... 5 Dr Kourosh Mehin ...... 16 Bass Strait Oil Company Ltd - Update on Activities, Offshore Bream Gas Development Gippsland Basin Esso Ltd ...... 17 Bass Strait Oil Company Ltd...... 6 Eagle Bay Resources – Activities Update PETROLEUM INFORMATION Eagle Bay Resources NL ...... 7 Petroleum Information Group Update Bob Harms ...... 18 INFRASTRUCTURE Over $3b Earmarked for Infrastructure Development in Victoria MPV Reports Listing ...... 19 Geoff Collins and David Wong ...... 8 List of Tenements ...... 20 Seagas Pipeline Rolls Out Tenements and Pipelines Map ...... IBC International Power and SEA Gas ...... 10 M&P Mission ...... OBC

This publication was produced by Oilfield Publications Pty Ltd T/A RESolutions Resource & Energy Services on behalf of PESA PO Box 24 Innaloo City WA 6918 Australia • Ph: +618 9446 3039 • Fax: +618 9244 3714 • Email: [email protected] Victorian Supplement 2003

PETROLEUM BRANCHES OF MINERALS & PETROLEUM (M&P)

Richard Aldous Minerals & Petroleum is a division of the Executive Director Minerals & Petroleum Department of Primary Industries. It is Ph: +61 3 9412 4508 responsible for the administration of minerals, Fax: +61 3 9412 4183 quarry and petroleum legislation including Email: richard.aldous @nre.vic.gov.au transmission pipelines. The division is also responsible for promoting minerals and petroleum exploration and extraction activities. Kathy Hill

Manager Petroleum Development It facilitates petroleum exploration and Ph: +61 3 9412 4208 development, acreage marketing, geological Fax: +61 3 9412 5156 studies, data management, reservoir Email: [email protected] engineering and legislative policy reform.

Rob King It provides advice on the technical aspects of licence conditions and approvals of drilling Manager Minerals and Petroleum Regulation programs, pipelines, health, safety and Ph: +61 3 9412 5069 environment monitoring. Also responsible for Fax: +61 3 9412 5152 granting renewal and administration of Email: [email protected] licences and fees.

PETROLEUM DEVELOPMENT MANAGERS

Mike Woollands Kourosh Mehin Geoff Collins

Manager Basin Studies Manager Petroleum Resources Manager Petroleum Projects Ph: +61 3 9412 5135 Ph: +61 3 9412 5082 Ph: +61 3 9412 5095 Fax: +61 3 9412 5156 Fax: +61 3 9412 5156 Fax: +61 3 9412 5156 Email: [email protected] Email: [email protected] Email: [email protected]

Basin Studies have developed knowledge of Petroleum Resources monitors the level of Provides assistance in liaising with Victorian basins and produce regional geological reserves within Victoria and provides government agencies for all major projects reports to assist with the assessment of acreage. geological/technical advice in respect of including new transmission pipelines. The group also funds studies and acquisition of drilling programs and tenement applications. data where this will promote the acreage. MINERALS & PETROLEUM Maher Megallaa MINERALS & PETROLEUM (M&P) REGULATION (Formerly Energy & Minerals Division) is a division Manager Acreage Release of the Department of Primary Industries (DPI). Ph: +61 3 9412 5081 Horacio Haag Fax: +61 3 9412 5156 Manager Petroleum Regulation Unit M&P has its headquarters at: Email: [email protected] Ph: +61 3 9412 5101 240/250 Victoria Parade Fax: +61 3 9412 5152 East , Victoria 3002 Handles the co-ordination of acreage release Email: [email protected] The Petroleum Development Branch is located at: processes and the marketing of gazetted Level 7, 240/250 Victoria Parade acreage, including the preparation of Responsible for management of the Petroleum East Melbourne, Victoria 3002 promotional data. Tenements, assessment and acceptance of P.O. Box 500, East Melbourne, Victoria 3002 safety cases, environmental management Ph: +61 3 9412 4208 Fax: +61 3 9412 5156 Bob Harms plans, approvals of seismic, drilling, and M&P Website: workover operations. Approvals relating to http://www.nre.vic.gov.au/minpet/ Manager Information Services pipeline construction and operations. Ph: +61 3 9412 5053 Business Centre Fax: +61 3 9412 5156 FRONT COVER To order hard copies, CD-ROMs and DVDs for Email: [email protected] The front cover image, released by Esso/BHPB, is a reports and information packages prepared by rendering of the Top of Latrobe surface and was the Petroleum Development Branch geoscientists derived from the recently acquired Northern Fields In Victoria data is required to be submitted to contact: the government. Information Services 3D seismic dataset. Acquisition of this survey commenced on the October 21st, 2001 and was manages this data and, after confidentiality Business Centre Department of Natural Resources completed by July 20th , 2002. The survey covered periods, handles distribution to companies and Environment an area of 4,060 km2 and cost approximately $60 requesting the data. 8th Floor, 240 Victoria Parade million to acquire and process. This is the largest East Melbourne, Victoria, 3002 proprietary 3D survey ever acquired in Australia and Ph: +61 3 9412 5103 one of the largest acquired by ExxonMobil Fax: +61 3 9412 5150 worldwide. For the first time a single continuous 3D Email: [email protected] dataset, linking all of the major northern producing oil and gas fields of the Gippsland Basin, has been Or contact Dee Ninis acquired thus enabling the construction of a true Ph: +61 3 9412 5169 regional 3D structural and stratigraphic framework Fax: +61 3 9412 5156 which will be a significant aid to future exploration Email: [email protected] and production activities. PESA News April/May 2003 1 Victorian Supplement 2003

EXPLORATION ACTIVITIES 2003 ACREAGE RELEASE AND INDUSTRY ACTIVITIES BY MAHER MEGALLAA, MANAGER ACREAGE RELEASE

THE ACREAGE • V03-1 on Thursday, September 25th, 2003 • V03-2, V03-3 and V03-4 on Thursday, t the March 2003 APPEA Conference in March 25th, 2004. Melbourne, the Commonwealth of AAustralia and the State of Victoria jointly State Acreage: released four areas in the offshore Gippsland Basin. Concurrent with this, Victoria is also The two State areas are designated 03-1(v) releasing two areas in the basin's coastal and 03-2(v) and their applications will be waters 'three-nautical mile zone'. closed at 4PM (EST) on Thursday, September Maher Megallaa 25th, 2003. The areas are in a world-ranked petroleum province near major producing fields, close to STATE ACREAGE straddles the Northern Terrace, between the infrastructure and industry centres and have Rosedale and Wellington Fault Systems, and the potential for containing oil and gas AREAS 03-1(v) and 03-2(v) extends from the edge of the Central Deep accumulations. The location of the areas in towards the State 3-mile zone. It lies just relation to bathymetry is shown in Figure 1. Areas 03-1(v) and 03-2(v) are located in the northwest of the Central Deep and is likely to Figures 2 and 3 show the location of some State's coastal waters to the northwest of the have been charged from long-range wells drilled and open file seismic coverage, Golden Beach gas accumulation (approx. 75 migration, as it lies on the main migration respectively. bcf GIP) and to the south of the Seaspray area path from this central kitchen. (Fig. 2), where sub-commercial hydrocarbons The M&P Basin Studies Group assessment of were encountered in Woodside wells. Water Immediately south of Area V03-1, rollover the acreage is summarised in pages 12-15 depths (Fig. 1) are less than 20m. The areas structures associated with the Rosedale Fault (which outlines the content of VIMP Reports have common boundaries with the offshore System, such as the Seahorse, West Seahorse 79 and 80 on the hydrocarbon prospectivity Area V03-1 mentioned below. and Wirrah structures have proved to contain of these areas). The basin’s tectonic setting hydrocarbons. The nearby Barracouta, Moonfish, and to the basin’s stratigraphy are shown by COMMONWEALTH ACREAGE Patricia-Baleen, Sweetlips, Snapper, Wirrah and figures 1 and 2 on page 12 and 13, Whiting oil and gas accumulations provide respectively. AREA V03-1 evidence of an active petroleum system.

Commonwealth Acreage Area V03-l consists of 18 blocks or part blocks The area is covered by whole or parts of (approximately 750 km2) located about 25 km twelve 2D seismic surveys recorded since The four Commonwealth areas are designated SE of Lakes Entrance (Fig. 2) with four 1980, with most of the area now covered with V03-1 to V03-4 and their applications will be exploration wells drilled in it. Water depths a line spacing of 0.5 to 1 km or less (Fig. 3). closed at 4PM (EST) as follows: vary from 20 to 80 m (Fig. 1). The area Some wider gaps exist in the seismic grid

Fig. 1. Location and bathymetry of Commonwealth and State released areas.

2 PESA News April/May 2003 Victorian Supplement 2003

EXPLORATION ACTIVITIES

However, seismic data quality of the predominantly older vintages would warrant reprocessing. Seismic reprocessing (such as proposed by Fugro Multi Client Services see page 4) may therefore assist in providing better subsurface imaging and delineation of the poorly defined prospects and leads (see page 14) in this area.

AREA V03-3

Area V03-3 consists of 18 blocks or part blocks (approximately 1220 km2) and extending to the south from the Blackback Field thus four exploration wells have been drilled (Fig. 2). The presence of major producing oilfields such as Kingfish, Halibut, Mackerel and Blackback in the immediate vicinity of V03-3 provides evidence of an active petroleum system and the good quality of the source rock. Migration is prognos- ticated to come from the basin depocentre (Kingfish kitchen) to the northwest.

Fig. 2. Released areas in relation to oil and gas fields, showing wells drilled. Source: ITR 2003 Acreage Release Map. The area is bisected by the present day continental shelf break. Water depth varies from less than 100 m in the northwest and southwest corners to in excess of 2200 m along its eastern boundary (Fig. 1). Deep present-day submarine canyons, including the Bass Canyon, are incised resulting in irregular seafloor topography.

The area is covered in whole or part by thirteen 2D and four 3D seismic surveys recorded since 1980, with most of the area now covered with a line spacing of 0.5 km or less (Fig. 3). Petrofina acquired the Angler 3D survey (GF88A) in 1988 and Esso/BHP acquired the large Billfish survey (G95B) in 1995. In 1998 BHP became operator of VIC/P34 (V03-3 now partially covers this old permit) and reprocessed some of its older seismic surveys (GC80, GUT83A and G95B).

A major difficulty in interpretation was caused Fig. 3. Gippsland Basin open file seismic coverage. by the inconsistent application of water replacement statics and by the irregular sea particularly in the shallow-water in the Area V03-2 straddles parts of three main floor topography, which deteriorated seismic northeastern part of Area V03-1. Esso/BHP tectonic provinces namely, the Central Deep, data quality and makes depth conversion Billiton extended their recent 3D Northern Southern Strzelecki Terrace and the Southern difficult. Contemporary seismic data is Margin seismic survey to acquire data on part Platform. important for exploring this area. For this of this block. However, these data are reason Esso conducted the Tuskfish 3D survey proprietary and will not be released before A number of fault-dependent prospects and in their production license areas VIC/L20 and the closing date for this area. leads were mapped and discussed in page 13 L6 and has extended part of it over V03-3. and 14, two of which relate to the adjacent This data is propriertary data and will not be Proposed seismic reprocessing by Fugro Multi Perch and Whiptail discoveries. released before the closing date for the area. Client Services (see page 4) will therefore assist in providing better subsurface imaging The area is covered in whole or part by AREA V03-4 and delineation of the poorly defined fourteen 2D seismic surveys recorded since prospects and leads (see page 13) in this area. 1980, with most of the area now covered with Area V03-4 consists of 24 blocks or part a line spacing of 0.5 to 1 km or less (Fig. 3). blocks (approx. 1375 km2) and contains the AREA V03-2 Several good seismic markers can be picked Pisces Sub-basin (over the Southern Platform) throughout the area with a fair degree of and contains up to 2 km of Latrobe Group Area V03-2 comprises 46 blocks or part confidence (informally the top Miocene Sst, sediments, overlain by 1.5 km of Lakes blocks (approximately 2670 km2). The area is top and base of the Lakes Entrance Fm., top of Entrance Formation and Gippsland Limes- approximately 75 km due south of Sale Latrobe Group and intra Latrobe Group -Lower tone. The Sub-basin is separated by the South (Fig. 3) with seven (7) exploration wells N Asperus and Lower M. Diversus- levels). Bounding (or Foster) Fault Systems from the drilled in it. Water depths are generally Velocity problems associated with the Miocene Southern Platform. Only one well, Pisces-1 shallow, ranging from 30 to 60 m (Fig. 1). age channels are not experienced in this area. (Fig. 2), was drilled in V03-4 (by Union Texas

PESA News April/May 2003 3 Victorian Supplement 2003

EXPLORATION ACTIVITIES in 1982). The prospectivity of this frontier area A number of leads and prospects were while VIMP Report 80 discusses the prospectivity may have to depend on long-distance identified, mostly formed by drape of the of areas V03-3 and V03-4 (see report titles in migration from deeper kitchens to the north Latrobe Group section over highly tilted page 19 for ordering). These reports will be and northeast of the Sub-basin's outer rim. Strzelecki Group/Basement horst-blocks, placed in the near future on the department's which form part of the Sub-basin outer rim. website: http://www.nre.vic.gov.au/minpet/. The area is covered by whole or parts of six These rollover features are located in deep older (pre-1989) seismic surveys (Fig. 3). In waters ranging from 400 to 800 m. APPLICATIONS the eastern part of V03-4 the seafloor is steeply dipping, increasing from 200 to over DATA AVAILABILTY Invitations to submit bids are governed by the 1000 m and is incised by three major Commonwealth Petroleum (Submerged submarine canyons (Fig. 1). This topography Basic data Lands) Act 1967 for the offshore areas, and by causes seismic data processing problems the State of Victoria Petroleum (Submerged related to diffraction, static correction and The Petroleum Information Group section of Lands) Act 1982 for the coastal water areas. lateral velocity variation. Time structure maps this supplement (page 18) provides Further information on gazetted blocks over leads and prospects in this region mimic information on standard basic data which can conditions and criteria for selection and the topography of the dipping sea floor. be ordered, such as: exploration reports, submission of applications can be seen on Testing the validity of the prospects and leads seismic data (e.g. field tapes, UKOOA data, the DPI website (above) or Commonwealth as economic targets would therefore requires SEGY tapes etc) and well data (e.g. World (ITR) website: http://www.industry.gov.au accurate time to depth conversion. Conven- Completion Reports, wireline log data etc). /resources/petroleum.html tional static corrections cannot be applied directly and corrections must be applied with Prospectivity packages Or contact Maher Megallaa, the use of a suitable ray-trace-modeling Ph: +61 3 9412 5081 module. VIMP Report 79 discusses the prospectivity of the Email: maher.megallaa @nre.vic.gov.au State water blocks and V03-1 and V03-2 areas,

REPROCESSING PROMISES NEW HYDROCARBON POTENTIAL FOR THE NEAR SHORE GIPPSLAND 2003 ACREAGE BY JAN OSTBY, GEOPHYSICAL PROJECTS MANAGER, FUGRO MULTI CLIENT SERVICES

t the March 2003 APPEA Conference the Gippsland near shore Areas V03-1 Aand V03-2 will be on offer for bidding in the 2003 gazettal round.

These blocks are surrounded by nearby oil and gas fields as shown by Figure 1, and their hydrocarbon potential is discussed by M&P articles in this supplement (Pages 2-4 and 12-15).

The seismic data available on these blocks is shown in the Acreage Release article (Fig. 3 - Page 3) and is mostly of the 1979s and early 1980s vintages, generally of poor quality below top Latrobe Unconformity. The SEGY stack tapes for these surveys are only partly available. As a result, exploration efforts over V03-1 & 2 have largely been hampered due to a lack of contemporary data.

A part of the northern block V03-1 has been covered by an extension of ExxonMobil's large 3D Northern Fields Survey conducted last year over their adjacent production licences. However, this is a proprietary survey and will not be available to most exploration companies during the gazettal period of V03-1.

In preparation for the 2003 acreage release, Fugro Multi Client Services reviewed and made assessment of the limited number of SEGY tapes for the various 2D surveys provided by the Petroleum Development Branch of M&P and was successful in finding ways for improving data quality. Fig. 1. Map of seismic lines currently being reprocessed.

4 PESA News April/May 2003 Victorian Supplement 2003

EXPLORATION ACTIVITIES

Fugro Multi Client Services has reprocessed demultiple. This approach has brought out clearly see channel systems in the Latrobe sample lines and will now proceed with the the low signal data beneath the Latrobe Siliciclastics as indicated by the yellow arrow full reprocessing of the grid shown by Figure 1. Siliciclastics. In addition, Pre-stack Time in Figure 3. This will also help to develop new Migration [PSTM] has been used to further Latrobe Group exploration targets including To illustrate the improvement made by the enhance the structural imaging and has also subtle plays. reprocessing, Figure 2 shows a 1989 increased the overall signal to noise ratio reprocessed line which demonstrates the [S/N] of the reprocessed data (Fig. 3). The entire 2D reprocessing project is around overall limitation associated with older 5,000 line km with the northern area processing strings over this region. Typically On the line newly reprocessed by Fugro, one expected to be finalised in June 2003 and the low frequency Latrobe Siliciclastics are the can now clearly see the unconformity southern area in August 2003. dominant feature on the line and imaging between the Latrobe Siliciclastics and the beneath this section is hampered as a result Golden Beach Subgroup (as highlighted in If you require any further information, please of energy transmission loss/absorption within green). This improvement will now allow contact: the coal seams and the residual presence of mapping of a new set of prospects and leads Jan Ostby multiples. that the previous explorers were unable to Fugro Multi Client Services, interpret using the existing limited SEGY tapes 9 Richardson Street, West WA 6005 Figure 3 illustrates the improvement made and hardcopy prints. Ph: +61 8 9321 4400 when the line has been reprocessed with Fax: +61 8 9321 4401 modern demultiple techniques such as Tau-p Furthermore, with the improved resolution in Email: [email protected] deconvolution and Radon Transform the 2003 reprocessed data, we can now Website: www.fugromcs.com.au

Fig. 2. 1989 Reprocessing. Fig. 3. 2003 Fugro reprocessing - full Kirchoff PSTM processing.

LAKES OIL – EXPLORATION PROGRAMS IN VICTORIA BY JACK MULREADY, TECHNICAL CONSULTANT, LAKES OIL N.L.

akes Oil commenced exploration in the aeromagnetic – scintillometer surveys and techniques and fracture stimulation. The Gippsland Basin in 1946 with its drilling of the following wells: Lakes Oil/AusAm joint venture intends to Linvolvement in the evaluation of the • Ten exploration wells targeting Lakes undertake development of the tight gas Lakes Entrance oil field. After a hiatus of over Entrance Greensand, Latrobe Group and reservoirs of the Early Cretaceous Strzelecki 40 years, Lakes Oil returned to exploring the Strzelecki Formation reservoirs; Formation which underlies much of the onshore Gippsland Basin when it applied for • One core hole investigating the Strzelecki onshore Gippsland Basin. Under the terms of permit PEP135 (located on the Lakes Formation reservoir quality; and Entrance Platform and encompassing the • One core hole investigating the Tertiary Lakes Entrance oil field). Greensand reservoir of the Lakes Entrance Oil Field. Subsequently Lakes Oil has been granted permits PEP 136, PEP 137 and PEP 138. With the To date total expenditure has been in excess recent granting of Permit PEP 166 in the Latrobe of $7 m. Valley (in joint venture with AusAm Resources), Lakes Oil now holds the majority of the onshore EVALUATION OF GIPPSLAND TIGHT Gippsland Basin petroleum exploration acreage, GAS POTENTIAL extending from Moe to Orbost. In 2002, Lakes Oil announced the farmout of EXPLORATION TO DATE most of their Gippsland Basin acreage to AusAm Resources Limited, a company Since 1997, Lakes Oil has conducted extensive specialising in the development of tight gas exploration programs, which included reservoirs by means of underbalanced drilling Drilling at Port Fairy.

PESA News April/May 2003 5 Victorian Supplement 2003

EXPLORATION ACTIVITIES the farmin agreement, AusAm will spend up 1, targeting Late Cretaceous sands of the to $10 m of development expenditure in Flaxmans Formation and Belfast Mudstone. order to earn a 50% interest in PEPs 156, 157 Early last year, Lakes Oil also participated in and 158. After spending the first $5 m, AusAm drilling Port Fairy-1 in PEP 152. The evaluation may elect to withdraw should they so choose. of this well's potential is still ongoing. The earning programme commenced in the first quarter of 2003, with the drilling of two ONGOING EXPLORATION OF TERTIARY wells on the Trifon prospect to the north of TARGETS Seaspray (where Trifon-1 flowed gas to the surface in late 2001). Lakes Oil will be continuing its evaluation of the tertiary potential of their permits with the OTWAY TIGHT GAS POTENTIAL AND drilling of Patties Pies-1 well, located near OTHER ACTIVITIES Bairnsdale and targeting Latrobe Group Latest Falcon airborne gravity gradiometer technique sands, which produce associated gas in In a further extension of the Lakes Oil used over Lakes Entrance Oil Field. Photo courtesy nearby water wells. exploration strategy of applying new of BHPB . technology to tight gas reservoirs, the RETURN TO LAKES ENTRANCE OIL FIELD company has recently applied for, and was equivalent to the Strzelecki Formation of the granted, two new permits covering the Gippsland Basin). Lakes Oil has recently drilled the first of Bellarine Peninsula and Colac Plains in several appraisal coreholes within the Lakes Western Victoria. As with the Gippsland Basin Lakes Oil also holds exploration interests in Entrance oil field, located by using the latest acreage, the target will be the tight, gas PEP 152 (operated by Origin Energy) in the Falcon airborne gravity gradiometer and saturated sands of the Early Cretaceous Victorian Otway Basin, where it participated magnetics technology. Bunga Creek-1 Eumeralla Formation (the Otway Basin's with its partners in the drilling of West Koroit- corehole was drilled last November.

BASS STRAIT OIL COMPANY LTD – UPDATE ON ACTIVITIES, OFFSHORE GIPPSLAND BASIN BY IAN REID, GENERAL MANAGER, EXPLORATION, BASS STRAIT OIL COMPANY LTD

ass Strait Oil Company Limited (BSOC) is an option on 75% of VIC/P47, Eagle Bay In 2002 BSOC acquired 423 km2 of 3D data in a Melbourne based company committed Resources NL operator. VIC/P42, 222 km of 2D data in VIC/P41 and Bto being a Bass Strait specialist. The then initiated the processing of 3D data from company has established itself as a significant In addition, the company is pursuing the Esso's Northern Fields Survey which ingresses player in the offshore Gippsland Basin through acquisition of further attractive exploration VIC/P47. The company recently upgraded its interests in two permits (see Figure 1), VIC/P42 opportunities within the southeastern section workstation to the latest Geoquest suite and – 50% and operator with JV partner Inpex of Australia, of which the company's interests installed a new UNIX server. Alpha (50%), and VIC/P41 – 20% and operator in VIC/P41 and VIC/P47 are the first with JV partner Eagle Bay Resources NL, with examples, and those corporate acquisitions VIC/P42 an option to acquire a further 55%. It also has helpful in the development of critical mass. BSOC has just received the final data from the 3D seismic survey acquired by the Geco Beta last July and August and processed by WesternGeco in Melbourne. Loading of the 3D seismic data onto the company's Geoquest workstation system is now underway. The data was processed to PSTM with particular attention placed on velocities, due to the effects of strong lateral velocity variations in the overburden caused by submarine canyons. BSOC used WesternGeco's proprietary dense velocity analysis to create a consistent interval velocity constrained 3D velocity cube to complement the PSTM data. This augers well for refining Latrobe Group targets in the northeast of the permit between the Kingfish and Bream oil and gas fields where a number of leads are already identified, and updip potential to the oil pay interpreted in Nannygai-1 (drilled in 1972).

The 3D dataset also covers the Hemingway prospect. This is defined by an extensive amplitude anomaly interpreted to be a discrete barrier sand in a sequence of upper Latrobe barrier sands. This amplitude dimming may represent a gas filled sand body. If the anomaly Fig. 1. Location map of BSOC interests in Gippsland Basin. represents gas then it proves the existence of

6 PESA News April/May 2003 Victorian Supplement 2003

EXPLORATION ACTIVITIES the 'trap' and potentially a significant down- dip oil field may also exist. The prospect is a combined structural - stratigraphic trap which, as is the nature of stratigraphic traps, is assessed as a high risk, high reward prospect. A sequence stratigraphic interpretation of the prospect on the 3D data together with analysis of the seismic attributes is hoped to reduce the risk on this feature.

The interpretation of the VIC/P42 new 3D seismic data was initiated in early January 2003.

VIC/P41

BSOC executed a farmin and option agreement on June 7th 2002 with Eagle Bay Resources NL with respect to permit VIC/P41. Under this agreement BSOC acquired a 20% interest in VIC/P41 and became operator. BSOC acquired a 222 km 2D seismic survey in early January 2003 under an agency arrangement with Santos Ltd, who acquired 2D over the Sole gas field. This field lies in a Fig. 2. Intra Latrobe Group downthrown fault closures identified in VIC/P41. separate retention lease that is completely surrounded by VIC/P41. The 2D seismic was located over the eastern area of VIC/P41, where a lack of seismic coverage existed, and EAGLE BAY RESOURCES ACTIVITIES UPDATE will be used to identify any top Latrobe leads east of Sole and downthrown fault leads BY TONY RECHNER, DIRECTOR & EXPLORATION MANAGER, EAGLE along the Rosedale Fault. BAY RESOURCES NL

BSOC can obtain a further 55% interest in VIC/P41 by exercising, at its sole discretion, an agle Bay Resources NL (EBR) is a small Interpretation of the Esso 3D seismic survey is option for further exploration expenditure in the publicly listed company on the nearing completion and should allow North fifth year of the permit. The work programme EAustralian Stock Exchange which is Kipper to be sufficiently defined by the time in year five is a 3D seismic survey of 250 km2. It active in gold exploration, the development of the BSOC option expires. is currently envisaged that the 3D survey would a $20 m graphite mine in Port Lincoln South be located along the downthrown Rosedale Australia, and the exploration of the offshore A $700,000 2D seismic survey has been fault where several intra Latrobe closures have Gippsland Basin for oil and gas. recently completed by BSOC over prospects been identified (Fig. 2). located within VIC/P41. BSOC must elect to OIL AND GAS EXPLORATION either sole fund the cost of a well or record 2 VIC/P47 250 km of 3D seismic in VIC/P41 to increase GIPPSLAND BASIN OFFSHORE VICTORIA its equity by 55% to a total of 75% interest. BSOC negotiated an option agreement in (EBR 100% and diluting) VIC/P41 and VIC/P47 The combined cost of the recent seismic April 2002 with Eagle Bay Resources N L, the surveys completed on the two permits is 100% interest holder in permit VIC/P47, EBR is committed to intensive seismic estimated at approximately $7 m. granting BSOC the option to acquire a 75% evaluation of prospects within its portfolio of oil interest. In return for the grant of this option, and gas permits to the stage where drilling can OIL DRILLING ACTIVITY UPDATE BSOC is currently processing, and will be completed. EBR has successfully operated interpret, the portion of the 3D seismic survey on time and under budget, drilling in the Following the work completed over the past year, recently recorded by Esso over the southern offshore Gippsland Basin. Efforts over the past EBR is proposing to drill two wells over the next area of the permit (approximately 68 km2), year have been focussed on maturing prospects 12 months based on completed and interpreted together with all other relevant data in the located in permits VIC/P47 and VIC/P41 2D and 3D seismic surveys. These wells are area. Upon exercising the Eagle Bay option, through both 2D and 3D seismic surveys and expected to be drilled with farmin partners. BSOC would become the operator. The additional geological and geophysical reviews. option allows BSOC to earn a 75% interest in The offshore oil fields in Victoria, owned by The East Patricia prospect (VIC/P47, EBR VIC/P47 by funding the $6 m Year 2 work Esso/BBHP, are declining by some 16% per 100%) is an eastern extension of the commitment, which will mainly be well costs. annum from a low 30 year production base, so Patricia/Baleen group of producing fields. there is some urgency to make new discoveries. Mapping completed by EBR highlights direct THE FUTURE IN 2003 hydrocarbon indicators of gas and the Two separate 3D seismic surveys (including potential for an oil column to underlie the BSOC has collated an enormous set of new field the Esso Australia survey) have now been gas. EBR believes East Patricia is highly likely data and existing data, the latter either sourced completed within VIC/P47. Bass Strait Oil to contain a gas reservoir. from the DPI or traded with various operators. Company Limited (BSOC) has been granted The development of in-house expertise and an option over VIC/P47 and is interpreting the North Kipper is a major prospect located in through working closely with selected surveys, estimated to cost $250,000. the southern portion of VIC/P47 and lies contractors and experts in the industry and Following this interpretation, BSOC can elect within the recently aquired 3D seismic survey government, should lead to a strong portfolio of to drill the North Kipper prospect, estimated completed by Esso Australia. The North prospects in the Gippsland Basin in 2003. to cost a further $6 m, to earn a 75% interest in the permit. Cont’d On Page 8 PESA News April/May 2003 7 Victorian Supplement 2003

INFRASTRUCTURE DEVELOPMENT OVER $3 B EARMARKED FOR INFRASTRUCTURE DEVELOPMENT IN VICTORIA BY GEOFF COLLINS, MANAGER PETROLEUM PROJECTS & DAVID WONG, SENIOR PETROLEUM EXPLORATIONIST etroleum development in Victoria, FIELD DEVELOPMENTS particularly by the gas industry, is accelerating rapidly as evidenced by The recently completed Patricia-Baleen gas the number of infrastructure projects development (Fig. 1) jointly owned by Pcompleted during the past 12 months. For consortia consisting of OMV, Trinity Gas Pty the period from 2000 to 2006, completed and Ltd and Santos Ltd was the first non- Geoff Collins David Wong planned projects are estimated to be over Esso/BHP Petroleum project in the offshore $3 b (Table 1). Only five to six years ago, there Gippsland Basin. It will tap the approximately Woodside, on behalf of its JV partners, has was no interstate transmission pipeline and 70 Bcf of dry gas in the field and has a proposed to develop the Geographe- only one major gas producer and supplier to production capacity of 75TJ/day through the Thylacine fields (Fig. 2) discovered in 2001. a government owned distributor. Victoria onshore plant. The Queensland based TXU, who have signed a 'Heads of Agreement' today has three completed interstate Energex gas-retailing company has signed a with Woodside, is proposing to take pipelines with one under construction and contract to purchase 60 PJ over a eight year approximately 30 PJ of gas per year. The multiple producers/suppliers and distributors. period. project is the subject of an EES/EIS under State and Commonwealth legislation. First PIPELINES In the offshore Otway Basin, construction of gas is expected in 2006. the BHP Billiton and Santos Minerva gas In 2002, Duke Energy, after completing the project has commenced. BHP Billiton has an In the onshore Otway Basin, Santos is Eastern Gas Pipeline in 2000 to NSW, agreement with Australian National Power to developing five gas discoveries made in 2001 completed the first phase of a second supply 270 PJ of gas over ten years, with first (the utilisation of 3D seismic surveys resulted interstate gas pipeline connecting Victoria to gas delivery scheduled for January 1st, 2004, in a 100% exploration success ratio) all Tasmania (Fig. 1). The first phase of this 350 through the above mentioned SEA Gas located within a few kilometres of plant and km pipeline was the construction of the line pipeline to Adelaide. facilities (Fig. 2). from the Duke Energy compressor station at Longford (in Victoria) to Bell Bay in Tasmania for electricity generation. The second phase will be the construction of distribution lines within Tasmania. The pipeline's final capacity will be 40 PJ/year with an initial delivery volume of 20 PJ/year.

A Victorian pipeline permit has been awarded to SEA Gas consortium, comprising Origin Energy and Australian National Power, for the construction of the fourth interstate pipeline (Fig. 2) connecting Victoria to South Australia. Work has already started in South Australia (see page 10) on the pipeline which will run from the Port Campbell area via Casterton to Adelaide. The pipeline has been redesigned with a larger capacity (up to 120 PJ/year) after Texas Gas Utility (TXU) joined the SEA Gas consortium.

Cont’d From Page 7

Kipper prospect is a deep faulted play within the Golden Beach and Emperor subgroups. Fig. 1. Current and proposed Gippsland and Bass basins pipeline projects. The substantial Kipper oil and gas field, located in the permit area south of VIC/P47 is an analogue for the postulated Golden PROJECT COST $ million GAS RATE (tj/day) GAS VOLUME (bcf) Beach play that might exist at North Kipper. WUGS 50 200 (>10 working volume) Heytesbury 25 25 45 rec The Kipper gas field is scheduled for Patricia Baleen 120 75 70 rec commercial production in 2006, and the Eastern Gas Pipeline 500 180 adjacent Patricia Baleen Gas Field has Tasmanian Gas Pipeline 440 110 recently commenced commercial produc- SEA Gas pipeline 500 390 tion. Santos and OMV plan to develop the Minerva 250 150 >300 rec Sole Field in VIC/RL3. A joint 2D seismic Bass Gas 370 70 260 rec survey by Santos and Bass Strait Oil Geographe/Thylacine 900 165 1000-1600 ip Company has just been completed in TOTAL 3155 685 1375-1800 rec VIC/RL3 and VIC/P41. Table 1. Current and planned infrastructure projects.

8 PESA News April/May 2003 Victorian Supplement 2003

INFRASTRUCTURE DEVELOPMENT

Origin Energy, Australian Worldwide Exploration and CalEnergy Gas (UK) Ltd have signed separate Gas Sales Agreements with Origin Energy Retail for the sale of 250PJ of gas over 15 years from the Bass Basin Yolla and White Ibis gas and condensate fields, in Tasmania waters. The project has received its environmental approvals and other approvals are currently being finalised for the construction to commence in early 2003. Mitsui Co. (Australia) Ltd. has now joined the consortium with first gas believed to be scheduled for the first half of 2004.

OPPORTUNITIES

The increased level of competition and new field and infrastructure developments has led to extra opportunities for both existing and new players. There is easy access to pipeline infrastructure for more remote fields, a bigger market (encompassing the whole of south east Australia) and a choice of retailers to sell to. Greater exploration efforts, as shown by the most recent awards of exploration Fig. 2. Otway Basin gas fields and current pipeline projects under construction. permits in the Otway and Gippsland basins, truly reflect the rate of expansion of the industry this decade. All these augur well for the petroleum industry in Victoria, particularly southeast Australia, where both domestic and commercial energy demands are growing steadily in the past. This trend is expected to continue for years to come.

MINERVA Directional horizontal drilling for the shore crossing for the Minerva Project (left). (Provided courtesy of Terry McKinley - DPI). Sedco-702 drilling completion and well testing of Minerva-4, taken off the coast of Port Campbell in January 2003 (right). (Provided courtesy of BHP Billiton)

PATRICIA BALEEN Development consists of two subsea development wells with a gas pipeline and umbilical cable (left) connecting them to the onshore facilities (right). (Provided courtesy of OMV)

SEA Gas PIPELINE Construction commenced near Tintinara in SA, in SANTOS HEYTESBURY PLANT October 2002 – construction moving towards Santos recently expanded the plant near Port Campbell to process gas from their onshore Otway fields. Victoria at a rate of 3-4 km/day. (Provided courtesy of Santos) (Provided courtesy of Terry McKinley - DPI)

PESA News April/May 2003 9 Victorian Supplement 2003

INFRASTRUCTURE DEVELOPMENT SEA GAS PIPELINE ROLLS OUT BY INTERNATIONAL POWER AND SEA GAS

he South East Australia Gas (SEA 2002 and a Victorian pipeline permit in Gas) underground pipeline is one March 2002. This is a highly professional Tof the most important energy and planned operation, with pre- infrastructure projects in Australia, and is paratory work including community designed to meet the needs of a range of consultation, environmental assess- energy providers in South Australia and ment, approvals and engineering Victoria. Work began on the $500 m, logistics having been undertaken over a 680 km pipeline in November 2002 and two year period prior to construction is on track for completion in late 2003 starting. with commercial pipeline operations to start in January 2004. SEA Gas advance crews have already cleared and fenced a 25 m wide path SEA Gas was created to build and own for the pipeline to a length of 135 km, the pipeline project and is jointly owned with work on the pipeline spreading by equal equity participants International over as much as 100 km of the 680 km Power, Origin Energy and TXU Australia. pipeline route at any one time. The pipe is being coated at Port Kembla and The pipeline will run from Port Campbell delivered by rail and road to the in southwest Victoria to Adelaide. Once pipeline route. complete, the pipeline will carry natural gas produced from offshore gas fields at Sea Gas is committed to protecting Minerva (15 km offshore from Port landowner assets and infrastructure and Campbell) and Yolla (100 km offshore is working closely with landowners and from Western Port). managers to minimise disruption of existing land uses and any impact on The Spie Capag-Lucas Joint Venture is stock during the pipeline's construction contracted for undertaking the engi- Fig. 1. SEA Gas pipeline route from Port Campbell to Adelaide (680 km). and operations. neering, procurement and construction works. Between 150 and 180 employees of pipeline The SEA Gas pipeline expanded from its construction contractors Spie Capag-Lucas are Origin, International Power and TXU are original 14 inch (355 mm) diameter to meet working on the project and are currently Foundation Shippers of the pipeline. Open the additional needs of TXU Australia. The based in a specially designed transportable access gas supplies are available for third pipeline will be a hybrid of dual 14 inch pipes camp near Padthaway, which will move to parties along the route and will be developed for 338 km of the project route and an 18 inch Casterton in early 2003. In addition, some if proved to be economic. (450 mm) pipe for the remainder of its 200-300 new jobs in construction, hospitality 680 km length. Up to 125 PJpa will be carried and engineering, including some sourced Construction of the pipeline began in Keith in through an underground pipeline (the from local communities along the route will the southeast of South Australia and is majority of which is 450 mm in diameter) be employed. progressing eastwards towards Port Campbell buried to a minimum of 750 mm. at an average rate of between 3 - 4 km/day. Further information regarding the SEA Gas Once this section is complete, work will After extensive environmental consultation, project can also be obtained from the project recommence from Keith in a westerly SEA Gas was granted a pipeline licence by the website - www.seagas.com.au. direction towards the pipeline end point at South Australian Government in February the Pelican Point Power Station north of Adelaide.

The project is expected to stimulate more than $1 b worth of new gas field developments and create opportunities for regional development in communities along the pipeline route from Port Campbell to Adelaide.

The SEA Gas pipeline is set to create significant regional benefits, as it will allow for : • Gas network between Melbourne, Adelaide and Sydney thus providing more security of gas supplies; • A link from South Australia's gas system to the TXU underground gas storage facility at Port Campbell in Victoria; • A more competitive gas market for south eastern Australia; and • Future transportation of gas from the Thylacine and Geographe gas fields in the Otway Basin to markets in Victoria and Pipes delivered by rail at Tintinara. South Australia.

10 PESA News April/May 2003 Victorian Supplement 2003

INFRASTRUCTURE DEVELOPMENT GEOGRAPHE AND THYLACINE DISCOVERIES ON TRACK TOWARDS DEVELOPMENT DECISIONS BY WOODSIDE ENERGY LIMITED

tway Gas Project partners Woodside's Otway Development Woodside Energy Ltd, Manager, Bruce Steenson, said OOrigin Energy Resources demand for gas in south eastern Limited, Benaris International N.V. Australia is predicted to grow and CalEnergy Gas (Australia) steadily in the next 15 years, Limited are progressing towards a mainly because of requirements final investment decision in the for gas fired power generation. first half of 2004. "Geographe and Thylacine will reduce the region's reliance on In recent months, Woodside has traditional gas sources and been finalising a combined enhance its gas supply security", Environmental Effects Statement he said. (EES) and Environmental Impact Statement (EIS) for joint A significant step towards a final assessment by the Victorian and investment decision (FID) on the Commonwealth Governments development has been a later this year. Government successful realignment of equity approval of the EES/EIS will be the in the two gas fields. Initially, first major step in the approval Otway development concept with small onshore gas plant. Woodside shared ownership of process for the development. Geographe with Origin and CalEnergy and Thylacine with Public release of the draft EES/EIS in the next Tasmanian permit T/30P. The production Origin and Benaris. couple of months follows a series of wells will be in water depths between 80 and community information sessions hosted by 100 m. The realignment has brought the four Woodside in the Port Campbell area, on partners into one joint venture for joint Victoria's south west coast, to explain the The combined fields are expected to produce development of the gas fields. The new equity proposed offshore gas development. more than 800 MMcf of dry gas and 10 shares are Woodside 51.55%, Origin 29.75%; Woodside has obtained feedback on issues MMbbl of condensate over their lifetime. The Benaris 12.7%; and CalEnergy 6%. Woodside such as the possible siting of an onshore gas natural gas component alone could supply previously operator of both permits will processing plant, which has guided the about 10% of south eastern Australia's continue as operator of the new joint venture. EES/EIS process. current energy demand for a decade. Mr Steenson said the equity realignment The draft EIS/EES will be put on public The routes of existing gas pipelines through provided considerable benefits for the exhibition for six to eight weeks where south eastern Australia has framed development. Commercial arrangements are submissions are invited from the public. After Woodside's planning for onshore gas more secure and we are now more confident this a panel, composed of independent processing facilities, requiring resolution of a that the development will happen", he said. experts selected by the Victorian Government, number of important issues related to the "The new equity alignment has removed will be convened to examine all submissions environment, land use, technical require- potential delays to the project development and hear from interested parties. The report ments, social impacts and the economics of process." of the panel will be provided to the Victorian the development. Minister for Planning to assist in the "However, the development is still not a assessment of the project. The location of the shore crossing for the gas certainty. The fields are complex and the pipeline and the siting of onshore facilities approval process – particularly environmental Concurrently, Woodside has been progressing has been a major theme in stakeholder and approval – is exacting and difficult. engineering and costing studies for the community consultation. The gas processing Community input to the proposal is also very development, and obtaining a better plant will be between Warrnambool and Port important to the joint venturers. understanding of the sub-surface in the Campbell, within about 20 km of the shore offshore Otway Basin, where the Geographe crossing, and reasonably close to a gas "All of these things have implications for the and Thylacine gas fields are located. transmission pipeline and the highway cost of the development, and cost will be a network. The local community has been fundamental element in the final investment A broad development plan for the gas fields consulted on possible sites and a decision will decision in about 12 months. Full develop- has been drafted and it is currently being be made later this year when the EES/EIS is ment of the gas fields will require investment refined into a design concept. It will include being finalised for approval. in the order of $1 b." Gas could be delivered production wells on both fields, subsea to the markets by mid 2006. manifolds and flowlines, possibly a small Woodside is more confident about market platform, a subsea pipeline to shore, and an prospects for Geographe-Thylacine. In August For more information, contact: underground pipeline to onshore processing 2002, Woodside signed a Heads of Annalisa Grubisa facilities. A decision on the final design will be Agreement with TXU Australia under which External Affairs Adviser made later this year. TXU will buy 30 PJpa for more than 10 years. Woodside Energy Ltd TXU is a part owner and will be a major user Ph: +61 8 9348 4922 The Geographe gas field is 55 km south of of the new SEA Gas pipeline between Port Port Campbell in Victorian permit VIC/P43, Campbell and Adelaide. and Thylacine is a further 15 km south in

PESA News April/May 2003 11 Victorian Supplement 2003

BASIN STUDIES BASIN STUDIES GROUP UPDATE BY DR MIKE WOOLLANDS, MANAGER BASIN STUDIES HYWEL THOMAS AND DR TOM BERNECKER, SENIOR EXPLORATIONISTS 2003 ACREAGE RELEASE-OFFSHORE GIPPSLAND BASIN

002 has been an important year for Gippsland exploration. Many newcomers, 2some from overseas, have recently Dr Mike Woollands Hywel Thomas Dr Tom Bernecker taken up exploration and production licences and even the long established producers ExxonMobil and BHPBilliton have renewed Exploration efforts to date have been areas straddling the basin margin faults to the their search for hydrocarbons through the focussed largely on the uppermost section of deeper water areas of the productive Central widespread application of 3D seismic. Having the Late Cretaceous (Turonian) to Tertiary Deep. In view of the geographic and geologic completed a major regional 3D seismic survey (Early Oligocene) Latrobe Group; indeed, diversity of the release areas, two VIMP along the northern basin margin, the joint most hydrocarbons are produced from the reports are in preparation describing in detail venture has recently acquired the Tuskfish 3D coarse-grained, often highly permeable, the hydrocarbon potential of each of the survey over the eastern shelf edge. marine sandstone reservoirs below the Marlin release areas. and Latrobe unconformities (Fig. 2). Following This year's acreage release provides an the Kipper gas discovery in 1986, the deeper STATE OF VICTORIA RELEASE AREAS opportunity to join in this latest '3D driven' intervals of the Latrobe Group, including the phase of exploration. The 2003 gazettal round Halibut, Golden Beach and Emperor Areas 03-1(v) and 03-2(v) (Fig. 1) comprises two State-water blocks and subgroups, have also become targets and four large Commonwealth blocks sub-commercial gas discoveries have been Area 03-1(v) straddles the northern margin of encompassing some 6650 km2 of offshore made at Longtom, Angler, Archer and the Gippsland Basin (Fig 3). Speculative leads Gippsland. Three of the four gazettal areas are Anemone. It is believed that the overall in the Halibut and Golden Beach subgroups close to known discoveries and producing hydrocarbon potential of the deeper Latrobe have been mapped by previous operators in fields, whilst one block covers the Pisces Sub- Group remains under-explored. the southwest of 03-1(v) south of the basin, a true frontier area on the basin's Rosedale Fault System. Delineation of these eastern margin. The blocks currently on offer cover a wide leads, however, requires a marked range of play settings from shallow water improvement in seismic coverage and

Fig. 1. Gippsland Basin structural elements.

12 PESA News April/May 2003 Victorian Supplement 2003

BASIN STUDIES integration with existing onshore well and seismic data.

This lack of seismic data has hindered exploration in State waters. However, recently acquired aeromagnetic data provides some insight into the subsurface geology of the area. The magnetic data (Fig. 4) reveals a pronounced anomaly above the granitic body that underlies the Lakes Entrance oil field and extends offshore. Other north-south trending anomalies occur throughout 03-2(v) and may indicate the presence of eroded granitic basement or Oligocene drape plays offshore.

COMMONWEALTH OF AUSTRALIA RELEASE AREAS Area V03-1

Area V03-1 (Fig. 3) is located in the basin's northwest, approximately 10 km south of the Lakes Entrance oil field. Water depths are very Fig. 2. Gippsland Basin stratigraphy. shallow and range between 20-40 m. Four exploration wells have been drilled in the block.

This gazettal block is geologically diverse. The southern section traverses the Rosedale Fault System across which the hydrocarbon-bearing Latrobe Group thickens southwards into the Central Deep. The heavily dissected nature of the Northern Terrace/Central Deep transition is favourable for structural traps and numerous discoveries have been made along the southern boundary of Area V03-1.

The southwest of the block is probably the most prospective. This area lies south of the Rosedale Fault System between the gas discovery at Golden Beach and the small Seahorse oil field. Two wells have been drilled in this part of the block. West Seahorse-1 was drilled by Hudbay Oil in 1981 and flowed Fig. 3. Release Areas 03-1(v),03-2(v) and V03-1. 1827 bopd of 480 API oil from Cobia Subgroup sandstones, however, the reservoir interval was absent in the follow-up well, West Seahorse-2.

A number of poorly defined Latrobe Group leads have been mapped by earlier explorers along the Rosedale Fault System. The largest of these is the Triggerfish lead (Fig. 5) which extends into Area 03-2(v). Recognising the need for better seismic definition, Esso/BHP have extended their northern margin 3D survey to encompass these leads.

Although the Latrobe Group thins rapidly northward and is only about 35 m thick in Albatross-1, the Northern Terrace provides a Fig. 4. Total Magnetic Intensity around Lakes Entrance. possible setting for structural and stratigraphic plays. Two wells have been drilled on the Northern Terrace on the migration pathway mechanism. However, stratigraphic traps Fig. 5. The Triggerfish lead, V03-2 and V03-2(v). from the Central Deep to the Lakes Entrance within the Latrobe Group could exist such as oil field. Albatross -1 (drilled by Endeavour Oil the Nicholson lead, identified by Area V03-2 in 1970) and Cuttlefish-1 (drilled by Amity Oil Lasmo/Hudbay as an erosional remnant or a in 1999) were both unsuccessful due to a marine barrier bar overlying the coal-bearing Area V03-2 (Fig. 6) is also located in the presumed absence of an effective trapping lower coastal plain sediments. basin's west. Water depths are generally

PESA News April/May 2003 13 Victorian Supplement 2003

BASIN STUDIES shallow and range between 20-70 m. Longtom-type plays (gas-bearing sandstones hydrocarbons within the Golden Beach Approximately two-thirds of the area extends within lacustrine Kipper Shale) may exist on Subgroup. The oil and gas-bearing sandstones across the Southern Platform and Terrace, the terrace. are characterised by fluvial and coastal plain while the northern third lies over the Central facies assemblages (Chimaera Formation) Deep, providing access to the deeper Although much of the Southern Platform is that interfinger with shallow marine stratigraphic section that has been identified unexplored, the fact that the Latrobe Group is sediments (Anemone Formation) and give as prospective along the northern basin pinching out between basement and the rise to a series of stacked pays. margin. Tertiary Seaspray Group, creates the potential for pinchout plays, such as the Avon lead. Billfish-1 (drilled by BHP in 1997) was aimed Seven wells have been drilled in the block, at an erosional remnant play similar to the primarily targeting top-Latrobe objectives, Area V03-3 Blackback Field. However, depth conversion including barrier bar complexes and structural inaccuracies led to the well being 170 m deep closures generated during Miocene basin Area V03-3 is located in the southeastern part to prognosis. Post-drill depth mapping of the inversion. Flying Fish-1, (1971), and Snook-1 of the Central Deep and lies immediately top-Latrobe Unconformity completed as part (1990) were drilled to test top-Latrobe south of the Blackback oil field and east of the of the VIMP initiative (Fig. 7) suggests that anticlinal closures on trend with the Mulloway giant Kingfish field. Water depths vary Billfish was probably not a valid structure, and Whiptail discoveries. Both wells failed to considerably, ranging from 160 m in the However a number of untested top-Latrobe encounter hydrocarbons whilst strong shows northwest of the block to over 2400 m in the structures exist throughout the block and in the top-Latrobe Group were recorded in east. warrant further detailed study. Amberjack (1990) just west of the Dolphin Field. None of these wells penetrated the Although over 50% of the block lies in water Seismic mapping also indicates the potential deeper Halibut and Golden Beach subgroups depths greater than 1000 m, the area is for lower Halibut and Golden Beach which comprise the main targets in this part considered to be highly prospective. Subgroup plays analogous to the Angler of the gazettal area. Objectives in this gazettal block include discovery. Several leads have been identified Halibut and Golden Beach subgroup plays as in the block including the Oyster lead (Figs 8 Kyarra-1 (1983), Wyrallah-1 (1984), well as top-Latrobe erosional remnant plays, & 9) and those below the TD of the Selene-1 Tommyruff-1 (1990) and Broadbill-1 (1998) similar to Blackback. Depth conversion and and Athene-1 wells. were drilled without success on the Southern seismic imaging in this area of steep Terrace. New palynological data from Perch-1 bathymetry, canyons and channelling within Area V03-4 has revealed the presence of Turonian the carbonates of the Seaspray Group are (P. mawsonii biozone) sediments critical factors for exploration success. Area V03-4 is located in the basin's southeast, immediately south of the Darriman Fault and contains a small embayment in the System, indicating that the Emperor Subgroup Four exploration wells have been drilled in Southern Terrace comprising a perched Early extends onto the Southern Terrace. It the block: Selene-1 and Athene-1 (both Cretaceous rotated half-graben referred to as therefore appears likely that Kipper-style plays drilled by Phillips in 1982/83) failed to reach the Pisces Sub-basin. Water depths range (gas-bearing sandstones sealed by volcanics the Golden Beach Subgroup whereas Angler-1 from 150 m to 1800 m. and lacustrine shales) could be developed (drilled by Petrofina in 1989) and the nearby along the Darriman Fault System and Archer-1 and Anemone-1A wells intersected

Fig. 6. Release Area V03-2.

Fig. 7. Depth to top-Latrobe Unconformity, V03-3 and V03-4.

14 PESA News April/May 2003 Victorian Supplement 2003

BASIN STUDIES

Fig. 8. Depth to top- Golden Beach Subgroup, V03-3. Fig. 9. The Oyster lead, V03-3.

Only one well, Pisces-1 (Union Texas, 1982), has been drilled in the block. Pisces-1 targeted a combined structural and stratigraphic objective in the hanging wall of the bounding fault of the Southern Platform. The top-Latrobe pinchout play failed to encounter hydrocarbons, however, weak hydrocarbon shows were encountered in the upper part of the Golden Beach Subgroup

Several small leads at the top-Latrobe Group level have been recognised, however, the largest feature is a basement/Strzelecki closure in the northwest corner of the block (Fig. 10). The main targets of this play would be transgressive sandstones and erosional sediments from the granitic basement (Emperor and Golden Beach subgroups) or fluviodeltaic sandstones sealed by either marine or lower coastal plain mudstones (Golden Beach and Halibut subgroups). Seismic data indicate a tentative amplitude anomaly associated with the closure which is worthy of further investigation, however, submarine canyons distort the true structure. Fig. 10. The Sagittarius (A4) lead, V03-4.

In summary, the 2003 gazettal round offers diverse acreage of great areal extent. Both inshore blocks are near proven hydrocarbon application of 3D seismic to concentrate on stratigraphic evolution of the basin. Moreover, accumulations and lie in shallow waters. The both subtle structural/stratigraphic plays at the exploration history is outlined and the two eastern blocks straddle the modern top-Latrobe and on the stratigraphically older prospectivity of each block is discussed, continental shelf and are located in the successions of the Golden Beach and supported by several seismic lines, maps and middle of renewed exploration activities. All Emperor subgroups. cross-sections. Extensive appendices contain four blocks have been previously assessed in all relevant well information including terms of prospectivity. Many mapped The Basin Studies Group has published comments on well failure. These reports can prospects and leads remain untested. detailed reports on the hydrocarbon be obtained by contacting the Petroleum However, the most important key to future prospectivity of the four gazettal blocks. These Client Services at Minerals and Petroleum success in the basin lies in challenging contain a concise description of the available Victoria, Department of Primary Industries. traditional exploration concepts through the data base, regional geology and the tectono-

PESA News April/May 2003 15 Victorian Supplement 2003

PETROLEUM RESOURCES & PRODUCTION PETROLEUM RESOURCES, PRODUCTION AND DRILLING ACTIVITIES IN VICTORIA DURING 2001/02 BY DR KOUROSH MEHIN, MANAGER PETROLEUM RESOURCES

OVERVIEW – PETROLEUM ACTIVITIES OIL AND GAS RESERVES Offshore Gippsland Basin xploration, development drilling and seismic data acquisition were at their As at June 30th, 2002, some 3.7 Million Bbbl highest levels for more than a decade of liquid hydrocarbons were produced and Eduring 2001/02. It appears that the the estimated remaining recoverable reserves Dr Kourosh Mehin exploration trend will continue and it is are 354 MMbbl. The recoverable gas reserve anticipated that higher exploration expen- was depleted from an initial 9.86 Tcf to diture will be maintained during 2002/03 4.3 Tcf. The total gas in place in the The initial recoverable reserves of carbon dioxide (Fig. 1). undeveloped fields is estimated at 4.55 Tcf, of gas from Boggy Creek and Buttress fields in the which 3.38 Tcf is in the Esso/BHP Billiton Port Campbell area were 19.7 Bcf. Cumulative OFFSHORE GIPPSLAND OIL AND GAS fields and the remaining 1.17 Tcf in fields held carbon dioxide gas production from Boggy PRODUCTION by other operators. Creek Field as at June 30th, 2001, was 3.8 Bcf and the remaining reserves were 15.9 Bcf. During 2001/02, the offshore Gippsland Basin Offshore Otway Basin produced crude oil around 156,000 bpd and Underground Gas Storage the basin currently supplies about 20% of The total gas in place in the undeveloped Australia's crude oil requirement and nearly Victorian and Tasmanian fields is estimated at The Iona gas field is located approximately 8 all of Victoria natural gas requirement (Fig. 2). 2.53 Tcf. The gas reserves from the Victorian km northeast of Port Campbell in Minerva, La Bella, Geographe and Casino southwestern Victoria. It is the first field in the Gas production, generally linked to demand fields are estimated at 1.42 Tcf and from the State that was converted to an underground level, met the 2002 winter peak demand of Tasmania Thylacine and Yolla fields are gas storage of natural gas. Stored gas is to 900 MMcfpd. On average, the winter estimated at about 1.1 Tcf. ensure Victoria's supply during the heavy demand is about 700 MMcfpd and, in demand in winter. Gas injection into this field comparison, the summer demand averages Onshore Otway Basin commenced in December 2000, reaching a 450 MMcfpd (Fig. 3). volume of about 10.4 Bcf to December 2001, The recoverable gas reserves as at June 30th, and a total of 0.8 Bcf of gas was also injected Petroleum development drilling and workover 2002 in the onshore eastern gas fields of the during first quarter 2002 (Fig. 4). operations by Esso/BHP Billiton continued Victorian Otway Basin were reduced from an over several early producing oil fields, notably initial 59 Bcf to 36.7 Bcf (including the EXPLORATION ACTIVITIES** at Tuna, West Tuna, Flounder, Halibut, Kingfish reserves of the undeveloped fields). The and West Kingfish. The major oil and developed gas fields are North Paaratte, Iona, Seismic Data Acquisition condensate producers were Bream, Flounder, Mylor, Fenton Creek, Skull Creek, Dunbar, Fortescue, Halibut, Kingfish, Tuna, West Penryn, McIntee, Tregoney, Naylor, Croft and A total of 5,272 line km of 2D and 3,795 km2 Kingfish and West Tuna fields. These eight Wallaby Creek. The undeveloped gas fields of 3D seismic data were acquired during fields are now responsible for producing are Grumby, Langley, Lavers, and Buttress. 2001/02 distributed as shown in Table 1. more than 67% of liquid hydrocarbons in the Gippsland Basin. Drilling Gippsland Basin Otway Basin Total Acquisition Data Acquisition Onshore Offshore Onshore Offshore During 2001/02, 19 wells (including one well 2D-Seismic --- 700.0 582.0 3990.0 5272 line km in Tasmanian waters) were drilled in both 3D-Seismic --- 3250.0 --- 545 3795 km2 onshore and offshore Victoria consisting of 14 exploration, three appraisal and two Table 1. Seismic data acquired during 2001/02 stratigraphic wells.

Fig. 2. Gippsland Oil and Gas Production (1968/2002).

Fig. 1. Petroleum Exploration Expenditure - Victoria (1984/85 - 2001/02).

16 PESA News April/May 2003 Victorian Supplement 2003

PETROLEUM RESOURCES & PRODUCTION

Fig. 3. Gippsland Oil and Gas Production (2001/2002). Fig. 4. Iona Field Gas Production/Injection.

PETROLEUM TENEMENT ACTIVITIES** system. Three onshore Otway Basin areas two offshore areas and one onshore area. One were released under and State Petroleum Act onshore retention lease was issued in 2002. In the 2001 acreage release, four offshore 1999 work programme bidding system. areas (three in the Otway Basin and one in the Assessment of the bids resulted in all areas, ** For more information on Exploration and Gippsland Basin) were released under the except one in an onshore area, being granted. Petroleum Tenement Activities please refer to PSLA 1967 Act work programme bidding Production licenses were issued in 2002 for our website: http://www.nre.vic.gov.au/minpet/

BREAM GAS DEVELOPMENT BY ESSO AUSTRALIA LIMITED

sso/BHP Billiton began flowing gas to mechanisms. The first is a their Longford gas plant complex process of continuously Ethrough a new Bass Strait pipeline on chasing the moving oil December 12th, 2002. On that day the column via a series of well Bream Field joined Barracouta, Marlin, and plugbacks and workovers. Snapper as a key source of natural gas for the This process is best suited to Victorian market. This milestone represents the Bream A area where the the culmination of over two years of reservoir consists of many Fig. 1. Bream N-1 Reservoir Structure. engineering studies and one year of alternating sand, silt and construction in which Rockwater II Dive shale stratigraphic units (a total Support Vessel (Fig. 2) was used. This major of 19 has been identified across the field). In gas pipeline, the fourth in the Bass Strait, not this environment the oil can be expected to only enhances the offshore gas supply but move upwards along stratigraphic barriers also permits access to approximately and can be accessed via individual well 30 MMbbl of gas liquids and crude oil that workovers. It is expected that as many as 50 were inaccessible within the framework of the workovers may be employed for this purpose. previous infrastructure. The second oil recovery method involves the The field was first accessed as an oil trapping and subsequent production of development from the Bream A Platform in migrating oil in localised structural highs. As 1988. A second smaller, unstaffed, satellite shown in the accompanying structure map platform, Bream B, was installed in 1996. (Fig. 1), the gas cap has a variable relief with Fig. 2. The Rockwater II Dive Support Vessel (DSV) Between them, a total of 45 wells was drilled. many identifiable crests. The two easternmost used during the connection of the Bream pipeline to the As the thin (13.5 m) Bream oil zone has a highs are of the most interest as migrating oil Bream A Platform. Photo courtesy of David Jenkins. significant overlying gas cap, it was recognised in these areas has a relatively small amount of that premature gas export would cause the oil gas cap to traverse prior to being trapped. It is This was followed by the laying of a 46 km column to migrate upwards and negatively also in this area where a significant volume of long 350 mm offshore pipeline. Tie-ins at impact oil recovery. Therefore, during the first undrained oil is known to occur. The 1999 Bream and onshore were initiated in July 14 years of the field's life, gas was continuously studies showed that this oil, coupled with that 2002. During construction, a variety of returned to the gas cap via injectors on Bream from well workovers, would, in 2003, be equal environmental initiatives was undertaken, the A and only one pipeline (oil) was part of the to or greater than that achievable through most significant of which was the drilling of original development. By 1999 oil rates from continued oil-only operations. an 1170 m horizontal shore crossing. First gas these two platforms had declined by nearly export occurred five months ahead of the 70% from their peak values and a study was The determination that 2003 was an optimum original schedule and the project was undertaken to determine the economic life of time to initiate blowdown was fortuitous as it completed without a single lost time injury. the oil zone and the optimum time to initiate permitted the capture of a pipe laying synergy exporting the liquids-rich gas cap. with the Tasmanian gas pipeline. The decision Currently, gas export is limited to the volume of to proceed was made in late 2000 and design gas that would normally be produced through The results of this 12 month effort determined began in 2001. Construction of the 5.5 km the oil wells and compressed for re-injection. that the overall oil recovery could be onshore pipeline commenced on November enhanced through gas export via two 23rd, 2001 and was completed in early 2002. Cont’d On Page 18

PESA News April/May 2003 17 Victorian Supplement 2003

PETROLEUM INFORMATION PETROLEUM INFORMATION GROUP UPDATE BY BOB HARMS, MANAGER INFORMATION SERVICES

DATA PRESERVATION PROGRESS Currently, requests for copies of reports that have not already been scanned are charged at PI has received special initiative funding scanning cost. Many of the most commonly to preserve digital and hardcopy data. requested reports have already been scanned DSo far, this program has preserved all at DPI's expense, thus reducing the time and well log and seismic navigation tapes, and cost of delivery. many thousands of onshore seismic field tapes. DPI thanks those companies who have DPI will be actively scanning more reports in contributed to the onshore seismic field tape the next three years as part of DPI's data Bob Harms transcription initiative by their search and preservation efforts. The most requested location of tapes. DPI is still eager to accept reports and the datasets most 'at risk' will be tapes under this preservation initiative. scanned first. • Otway Basin offshore WCR DVD; (version 1.0a ***); and Cataloguing In 2003, we are planning to produce new • Otway & Gippsland Onshore WCR DVD versions of the scanned Well Completion (version 1.0a ***). The Petroleum Information Group has Report (WCR) packages. These new versions gradually been cataloguing reports, logs, will include corrected versions of the scanned Packages that are marked (***) in this article tapes and other exploration and production images and more recent open-file wells. will have new updated versions created items. To date over 70,000 items have been during 2003. catalogued with priority given to the most We aim to increase the number of other requested data. The aim of the cataloguing is reports that will be scanned in the next year. NEW DATA PACKAGES to create a reliable and consistent framework These scanned reports will be included in a upon which later work can be based. future data package. New Packages planned for the coming 12 months include the following: Catalogued items have now been linked to The catalogue of material, combined with the • Gippsland Geochemical Reports CD spatial data in our dbMap database, enabling scanned images, will enable third parties to • VIMP reports & other publications on DVD searches to be conducted by area. This spatial have ready access to the reports, maps, and • Scanned 'other' reports on DVD linking is presently achieved through the use of other data. It is envisioned that in the future perl-DBI scripts accessing the Oracle database third parties should have the same ready STANDARD DATA SERVICES directly. These spatial links are created by access to the open file reports and data as can sophisticated string matching (using unique be obtained by departmental officers. DPI can provide onshore and offshore data, text strings) of related fields in the different including: parts of the database. A data management EXISTING DATA PACKAGES • Well Completion Reports; project that we will undertake in the future will • Composite logs and Mud logs; be to quality control the spatial linkages Data Packages now available (produced by • Digital and scanned wireline log data; created by these automated script processes. Information Group or by the Basin Studies • Cores, cuttings, side wall core, & palynology Group) include the following: slides; ASCII dumps of these catalogues are available • Victorian Petroleum GIS CD-ROM ($A33) • Permit, field, regional and special studies so that exploration companies can find, which contains SP-navigation data and reports submitted by operators; peruse and evaluate the data. These ASCII cultural data (as Petrosys Mapping files) • Seismic navigation UKOOA data; dumps also identify whether the report has and is updated every six months with the • Seismic processed SEG-Y digital data and been electronically scanned. latest open-file data. This allows explorers IESX Geoframe projects; to make maps and import the UKOOA data • Seismic field tapes and observer logs; (Bream Gas) Cont’d From Page 17 into their seismic interpretation • Seismic hardcopy sections; and workstations. It also contains ASCII dumps • Seismic acquisition and interpretation This capacity will be doubled when a from our dbMap database, showing report reports. dedicated gas-only high pressure separator and data lists. (version 0.5o***); is installed on the platform in the second • Victorian Biostratigraphy Reports Scanned CONTACTS quarter, 2003. When fully operational, the Images Package (1 x CD Otway and 1 x CD gas supply capacity from Bream will be in Gippsland) ($A110) (version 0.5c ***); For more information on any of these the range of 6 MMcfpd • Otway Basin Journal Papers CD, containing projects, please contact: scanned PDF files of APPEA, ASEG, and Robert Harms In addition to adding offshore gas supply PESA journal papers relevant to the Otway Email: [email protected] flexibility, this project has resulted in an Basin; Ph: +61 3 9412 5015 increase in the production of both gas • Otway Basin Geochemical reports CD, liquids and crude oil. The latter has containing scanned geochemical reports To order data, please contact: occurred because the lower compressor for the Otway Basin and a spreadsheet of Dee Ninis discharge pressure needed for gas export geochemical analysis results; Email: [email protected] versus injection has increased the platform • Gippsland Basin Journal papers CD, Ph: +61 3 9412 5169 gas capacity and increased oil rates. containing scanned PDF files of APPEA, ASEG, and PESA journal papers relevant to For brochures, product lists, and order forms, Overall, the project has been highly the Gippsland Basin; see our website. successful, adding new life and another • Petroleum Publications CD http://www.nre.vic.gov.au phase to the Bream field, and is just one (version 0.5c***); more chapter in the ongoing optimisation of • Gippsland Basin offshore WCR DVD, the Bass Strait hydrocarbon resource base. (version 1.0a ***);

18 PESA News April/May 2003 Victorian Supplement 2003

MPV PETROLEUM REPORT LISTINGS

2003 VIMP REPORTS PREVIOUS RELEASES * VIMP Report 60 ...... $110.00 Messent, B. E., Collins, G. I., & West, B. G. 1999 VIMP Report 80 ...... $250.00 Victorian Petroleum GIS Data CD ROM (2002 Version) Hydrocarbon prospectivity of the Offshore Torquay Thomas, H., Bernecker, T. & Driscoll, J. CD ROM...... $30.00 Sub-basin, Victoria; Gazettal Area V99-1 Hydrocarbon Prospectivity of Areas V03-3 and V03-4, Victorian Biostratigraphic Reports Package Offshore Gippsland Basin, Victoria, Australia: 2003 (Otway Basin and Gippsland Basin CDs) 1998 ACREAGE RELEASE REPORTS Acreage Release CD ROM ...... $110.00 VIMP Report 79 ...... $250.00 * VIMP Report 57 ...... $165.00 Bernecker,T., Thomas, H. & Driscoll, J. Victorian Petroleum Reports & Publications CD Lavin, C. J. 1998 Hydrocarbon Prospectivity of Areas V03-1, V03-2, 03-1(v), Version 0.5c of this CD-ROM includes the following Geology and prospectivity of the western Victorian 03-2(v), Offshore Gippsland Basin, Victoria, Australia: reports: Voluta Trough, Otway Basin, for the 1998 Acreage • "Oil and Gas Resources of Victoria. by Malek, R. & Release 2003 Acreage Release Mehin, K. 1999" • "A Guide to the Petroleum Industry in Victoria, by * VIMP Report 56 ...... $110.00 2002 VIMP REPORTS Collins G., Parker N. & Platek L. 2000" Megallaa, M., Bernecker, T. & Frankel, E. 1998 • PESA Victorian Supplements 1999, 2000, & 2001 Hydrocarbon prospectivity of the Northern Terrace, VIMP Report 78 ...... $150.00 • VIMP70, VIMP68, VIMP67, VIMP66, VIMP65, offshore Gippsland Basin, for the 1998 Acreage Moore, D.H., 2002 VIMP62, VIMP61, VIMP60, VIMP57, VIMP56, Release Basement - Basin Relationships in the Otway Basin, VIMP55 reports in PDF format * Victoria, Australia CD ROM ...... $165.00 VIMP Report 55 ...... $275.00 Geary, G. C. & Reid, I. S. A. 1998 * Oil and Gas Resources of Victoria. Minerals and VIMP Report 74 ...... $250.00 Hydrocarbon prospectivity of the offshore eastern Petroleum Victoria, Petroleum Development Unit: Bernecker, T., Driscoll, J. & Wong, D Otway Basin, Victoria, for the 1998 Acreage Release Hydrocarbon Prospectivity of Areas V02-2, V02-3 and Malek, R. & Mehin, K. 1999 V02-4 in the Gippsland Basin, Victoria, Australia CD ROM ...... $100.00 OTHER VIMP REPORTS * A Guide to the Petroleum Industry in Victoria 2001 VIMP REPORTS (2nd Edition) VIMP Report 54 ...... $80.00 Minerals and Petroleum Victoria, Petroleum Mehin, K. & Bock, M. P. 1998 * VIMP Report 70...... $100.00 Development Unit: Collins G., Parker N. & Platek L. Cretaceous source rocks of the onshore Gippsland Constantine, A.E. & Liberman, N. 2000 Basin, Victoria Hydrocarbon Prospectivity Package, Eastern Onshore VIMP Report 43 ...... $80.00 Otway Basin: VIC/O-01(1), VIC/O-01(2) and CD ROM...... Free on request Mehin, K. & Link, A. G. 1997 VIC/O-01(3). 2001 Acreage Release. Geological Survey Report 103 Eastern Otway Basin Late Cretaceous source rocks offshore Otway Basin, - The stratigraphy, strucrure, geophysics and VIMP Report 69 ...... $150.00 Victoria and South Australia Moore, D.H. & Wong, D. 2001 hydrocarbon potential of the Eastern Otway Basin, VIMP Report 42 ...... $110.00 Eastern and Central Gippsland Basin, Southeastern Victoria. 1995 Chiupka, J. W., Megallaa, M., Jonasson, K. E., & Australia; Basement Interpretation and Basin Links. CD ROM ...... $220.00 Frankel, E. 1997 * VIMP Report 68 ...... $250.00 Various Wells - Well Completion Report CD Hydrocarbon plays and play fairways of four vacant Constantine, A.E., Geary, G.C. & Reid, I.S.A. 2001 (WCR of your choice - Maximum 650 Mb per CD) offshore Gippsland Basin areas Hydrocarbon Prospectivity of Areas V01-1 to V01-3, CD ROM ...... $200.00 VIMP Report 41 ...... $55.00 Offshore Western Otway Basin, Victoria, Australia. Otway Basin Published Papers: Lavin, C. J. & Muscatello, T. 1997 2001 Acreage Release A CD contains 68 Otway Basin papers, scanned in The petroleum prospectivity of the Casterton * PDF Format, previously published in the APPEA VIMP Report 67 ...... $200.00 Petroleum System in the Victorian onshore Otway Basin Wong, D. & Bernecker, T. 2001 Journal, Exploration Geophysics and the PESA Journal Prospectivity and Hydrocarbon Potential of Area V01-4, CD ROM...... Free on request VIMP Report 31 ...... $65.00 Central Deep, Gippsland Basin, Victoria, Australia. Otway Basin Geochemical Reports: Mehin, K. & Link, A. G. 1996 2001 Acreage Release A CD contains scanned geochemical reports for the Early Cretaceous source rock evaluation for oil and Otway Basin and also a spreadsheet of geochemistry gas exploration, Victorian Otway Basin OTHER REPORTS & DIGITAL DATA from the analysis of well samples. VIMP Report 30 ...... $55.00 PACKAGES CD ROM...... Free on request Chiupka, J. W. 1996 Hydrocarbon play fairways of the onshore Gippsland NEW RELEASES PREVIOUS VIMP RELEASES Basin, Victoria Petroleum Atlas of Victoria, Australia VIMP Report 23 ...... $65.00 Minerals & Petroleum Victoria 2000 ACREAGE RELEASE REPORTS Parker, G. J. 1995 Early Cretaceous stratigraphy along the northern Hard Copy + CD ROM ...... $150.00 * VIMP Report 66 ...... $165.00 margin of the Otway Basin CD ROM ...... $100.00 Constantine, A. E. 2000 Victorian Onshore Gippsland & Otway Well Hydrocarbon prospectivity of V00-1 and V00-2, Late VIMP Report 22 ...... $65.00 Completion Report DVD Package Cretaceous Voluta Trough, offshore Otway Basin, Mehin, K. & Link, A. G. 1995 (Complete set of every open file WCR on a single DVD) Victoria, Australia. Early Cretaceous source rocks of the Victorian onshore

Otway Basin DVD/RW...... $100.00 VIMP Report 65 ...... $275.00 Victorian Complete Offshore Otway Well Smith, M.A., Bernecker, T., Liberman, N., Moore, D. H. VIMP Report 21 ...... $80.00 Completion Report DVD Package & Wong, D. 2000 Sarma, S. 1995 ( Complete set of every open file WCR on a single DVD) Petroleum prospectivity of the deep water Gazettal Seismic interpretation of the offshore Otway Basin, DVD/RW...... $100.00 Areas V00-3 and V00-4, southeastern Gippsland Victoria Victorian Complete Offshore Gippsland Well Basin, Victoria, Australia. VIMP Report 18 ...... $80.00 Completion Reports DVD Package Lavin, C. J., & Naim, H. 1995 (Complete set of every open file exploration well WCR 1999 ACREAGE RELEASE REPORTS The structure, stratigraphy and petroleum potential of on three DVD's) the Portland Trough, Otway Basin, Victoria * VIMP Report 62 ...... $110.00 DVD/RW...... $100.00 Mehin, K. & Constantine, A. E. 1999 VIMP Report 17 ...... $110.00 Gas Resources of the Otway Basin in Victoria Hydrocarbon potential of the western onshore Otway Perincek, D., Simons, B., Pettifer., G. R., & by Mehin, K & Kamel, M. 2002 Basin in Victoria; 1999 Acreage Release Gunatillake, K. 1995 CD ROM ...... $100.00 Seismic interpretation of the onshore western Otway * VIMP Report 61 ...... $275.00 Basin, Victoria Published Papers on the Gippsland Basin Smith, M. 1999 compiled by Smith,T Petroleum systems, play fairways and prospectivity of VIMP Report 16 ...... $55.00 (CD contains 154 Gippsland Basin papers, scanned in the offshore southern Gippsland Basin, Victoria; Knight, L. A., McDonald, P. A., Frankel, E. & PDF Format) Gazettal Area V99-2 Moore, D. H. 1995 CD ROM...... Free on request A preliminary appraisal of the pre-Tertiary infrabasins beneath the Murray Basin, northwestern Victoria VIMP Report 15 ...... $65.00 Ryan, S. M., Knight, L. A., & Parker, G. J. 1995

The stratigraphy and structure of the Tyrendarra * Also Available on Victorian Petroleum Available on MPV website: Embayment, Otway Basin, Victoria Publications CD-ROM www.nre.vic.gov.au/minpet

PESA News April/May 2003 19 Victorian Supplement 2003

PETROLEUM TITLES

OFFSHORE TITLES PRODUCTION LICENCES FIELD(S) TENEMENT HOLDER EXPIRY DATE VIC/L1, L2, L3, L4 Barracouta and Marlin Esso✸ / BHP Billiton 24/08/2009 VIC/L5, L6, L7, L8 Halibut and Kingfish Esso✸ / BHP Billiton 19/09/2010 VIC/L9 Tuna Esso✸ / BHP Billiton 12/07/2016 VIC/L10, L11 Snapper and Flounder Esso✸ / BHP Billiton 28/05/2018 VIC/L13, L14 Bream Esso✸ / BHP Billiton 15/12/2006 VIC/L15, L16, L17, L18 Dolphin, Perch and Seahorse Esso✸ / BHP Billiton 13/06/2010 VIC/L19 West Fortescue Esso✸ / BHP Billiton 12/07/2016 VIC/L20 Blackback Esso✸ / BHP Billiton 01/01/2019 VIC/L21 Patricia Baleen OMV Timor Sea✸/ Trinity Resources / Basin Oil / Santos 26/12/2022 VIC/L22 Minerva BHP Billiton / Santos✸ 31/10/2023

EXPLORATION PERMITS BASIN TENEMENT HOLDER EXPIRY DATE VIC/P41 Gippsland Eagle Bay✸ / Bass Strait 13/02/2005 VIC/P42 Gippsland Bass Strait✸ / Inpex Alpha 13/01/2006 VIC/P43 Otway Origin✸ / Woodside / CalEnergy 10/08/2005 VIC/P44 Otway Santos✸ / Strike Oil 10/08/2005 VIC/P45 Gippsland BHP Billiton✸ / Inpex Alpha 15/05/2006 VIC/P46 Otway Essential Petroleum✸ 27/05/2007 VIC/P47 Gippsland Eagle Bay✸ 27/05/2007 VIC/P48 Gippsland EnCana Corp.✸ 16/10/2007 VIC/P49 Gippsland EnCana Corp.✸ 16/10/2007 VIC/P50 Otway Essential Petroleum✸ 16/09/2008 VIC/P51 Otway Santos✸ / Inpex Alpha 26/08/2008 VIC/P52 Otway Santos✸ / Inpex Alpha / Unocal 26/08/2008 VIC/P53 Gippsland Australia Crude Oil Company Inc✸ 15/10/2008

RETENTION LEASES FIELD TENEMENT HOLDER EXPIRY DATE VIC/RL1 Mulloway Esso✸ / BHP Billiton 13/04/2005 VIC/RL2 Kipper Esso✸ / Woodside / BHP Billiton / Crusader / 14/12/2003 Santos / Woodside Eastern Energy VIC/RL3 Sole Santos✸ / Mobil 13/04/2005 VIC/RL4 Sunfish Esso✸ / BHP Billiton 27/02/2006 VIC/RL6 Basker/Manta Woodside Eatern Energy✸ / Woodside Energy 29/10/2005 VIC/RL7 La Bella BHP Billiton✸ / Santos (BOL) Under Review VIC/RL9 Manta Woodside✸ / Woodside Eastern Energy / News Corp 21/03/2006 VIC/RL10 Gummy Woodside✸ / Woodside Eastern Energy / News Corp 21/03/2006 VIC/RL1 (V) Golden Beach Bridge✸ / Basin Oil 27/08/2007 ONSHORE TITLES PRODUCTION LICENCES BASIN TENEMENT HOLDER PPL 1 Otway TXU Gas Storage P/L✸ PPL 2 Otway TXU Gas Storage P/L✸ PPL 3 Otway Boggy Creek P/L✸ PPL 4 Otway Santos (BOL)✸ PPL 5 Otway Santos (BOL)✸ PPL 6 Otway Santos (BOL)✸ / Beach Petroleum PPL 7 Otway Santos (BOL)✸ PPL 8 Otway Origin✸ 31/12/2099 PPL 9 Otway Santos (BOL)✸ / Beach Petroleum 06/12/2099 PPL 10 Otway Santos (BOL)✸ / Beach Petroleum 06/12/2099 PPL 11 Otway Santos (BOL)✸ / Beach Petroleum 13/05/2099

RETENTION LEASE BASIN TENEMENT HOLDER PRL 1 Otway Santos (BOL)✸ / Beach Petroleum

EXPLORATION PERMITS BASIN TENEMENT HOLDER EXPIRY DATE PEP 151 Otway Origin✸ / Lakes Oil / Essential Petroleum 03/02/2005 PEP 152 Otway Origin✸ / Lakes Oil / Essential Petroleum 03/02/2005 PEP 153 Otway Santos✸ 28/02/2005 PEP 154 Otway Santos✸ / Beach Petroleum 31/03/2005 PEP 155 Gippsland Petrotech✸ 16/08/2005 PEP 156, 157 Gippsland Petrotech✸ 16/08/2005 PEP 158 Gippsland Petrotech✸ 16/08/2005 PEP 159 Otway Origin✸ / Essential Petroleum 29/10/2005 PEP 160 Otway TMOC Exploration✸ / Origin 30/11/2005 PEP 161 Murray Knight Industries✸ 18/02/2005 PEP 162 Gippsland Karoon Gas P/L✸ 24/05/2006 PEP 163 Otway Mirboo Ridge P/L✸ 18/07/2007 PEP 164 Otway Mirboo Ridge P/L✸ 18/07/2007 PEP 165 Murray Knight Industries✸ 09/10/2007

✸ PERMIT/LICENCE OPERATOR

20 PESA News April/May 2003 Victorian Supplement 2003

EXPLORATION ACTIVITIES Victoria's recent Otway and Gippsland basin gas discoveries support the potential for more major finds.

Victorian gas pipeline

The Minerals & Petroleum (M&P) division of the Department of Primary Industries mission is to assist your exploration endeavours by providing independent regional geological assessment of vacant acreage, exploration data and information on DVD’s and CD’s and assistance with procedures to bid for exploration permits. For further information visit our website www.nre.vic.gov.au/minpet/

Minerals & Petroleum Department of Primary Industries 240/250 Victoria Parade, East Melbourne VIC 3002 Ph: +61 3 9412 4208 Fax: +61 3 9412 5156