South Australian petroleum prospectivity summary

NAPE 2021

1. South Australian Petroleum Review (PESA News, second quarter 2021 https://pesa.com.au/pesa- news-magazine/ ) 2. State of Play in SA, Elinor Alexander. Presented at PESA Deal Day on 14 June 2021 TECH TALK TECH TALK

") Marla

Moomba South Australian ")

") Petroleum Review Coober Pedy (May–2021)

INTRODUCTION Acreage Releases: Competitive acreage process (Figure 2). PEL 680 has been releases have been used successfully granted to Beach Energy and Cooper The Energy Resources Division in by the Department to manage highly Energy in the Otway Basin (formerly the South Australian Department for prospective Cooper Basin acreage OT2019-B block). Energy and Mining is the lead agency since 1998. The expiry of long term ") Ceduna for petroleum, geothermal and carbon exploration licenses (PELs 5 and 6) Petroleum Retention Licences: An ") Port capture and storage activities in the enabled the most significant structured initiative in 2013 to increase the extent Augusta state. It has responsibility for the release of onshore Australian acreage in of retention and production licences generation of royalty income, economic the industry’s history, and has generated has been very successful resulting in ") Port Bonython development, wealth and jobs, public (in today’s terms): a massive increase from 7,645 km2 in ") Port safety and the minimisation of impacts 2013, up to the current 17,107 km2 Pirie on the environment through efficient  44 PELs and 5 PELAs and resultant in April 2021. There are currently 210 management of the state's petroleum PPLs and PRLs from 89,100 km2 of petroleum retention licences, with and geothermal rights on behalf of the acreage; almost all of these located over proven people of South Australia. productive oil and gas play trends in the  $834 million in guaranteed work; Cooper/Eromanga Basins (Figure 2). ") PETROLEUM EXPLORATION Petroleum retention licence agreements Port Lincoln  298 conventional exploration wells – for proven oil and gas play trends in the ") & PRODUCTION ACTIVITY ADELAIDE 40% of which achieved commercial Cooper/Eromanga Basins have to date Onshore Petroleum success; been concluded with Senex Energy, Licensing Beach Energy, Drillsearch Energy (now  142 new field discoveries; a Beach Energy subsidiary), Santos Petroleum Exploration Licences: Forty- Limited and Armour Energy (and joint two petroleum exploration licences  royalties of $567.1 million from sales venture partners with those companies). Petroleum tenements 0 100 200 km (PELs) are current over the State’s of $8.7 billion to 30 June 2020; and Onshore exploration licence (PEL) onshore petroleum prospective areas. Since the first of the PRL initiative Offshore exploration licence (EPP) Nearly all of the petroleum prospective  increased gas supply-side licences were granted in May 2014 to Exploration licence application (PELA) Petroleum pipeline licence regions of the State are now under competition. end April 2021, 45 exploration wells Production licence (PPL) Gas licence or application with the total area have been drilled resulting in 19 new Retention licence (PRL) Gas and liquids 2 1

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of granted PELs covering 190,856 km The most recent acreage releases field discoveries. A further 33 appraisal 0 Liquids -

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2 ") 9 and a further 434,175 km of the State occurred in 2019 in the Cooper and wells have been drilled (19 successful) 4

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Gas storage tenements Mount Gambier 0 under application (Figure 1). Otway basins. The successful applicants and 9 development wells (8 successful). 2 Exploration licence (GSEL) No petroleum exploration access - for the five Cooper Basin blocks and National Parks and Reserves Exploration licence application (GSELA) Overlapping applications can be made one of the three blocks offered in the Hydrogen: on 11 February 2021 the No petroleum exploration access - Retention licence (GSRL) former test site Figure 1: South Australian over current PEL Applications (PELAs) onshore Otway Basin were announced in Petroleum and Geothermal Energy petroleum tenements. at any time but the first PELA has June 2020. (https://www.petroleum. Regulations 2013 were amended to priority for determination followed by sa.gov.au/about-us/latest-news/ declare hydrogen, hydrogen compounds successive applications. results_of_the_2019_cooper_and_ and by-products from hydrogen pipeline licencing provisions of the PGE basement (hydrogen generated via are progressing clean hydrogen and by otway_basins_acreage_release ). production regulated substances under Act. radiolysis of water), both of which occur 2030 aim to use Carbon Capture and Information about how to apply, the the Petroleum and Geothermal Energy on the Gawler Craton. Storage (CCS) technology to improve the licence register and maps showing Most Cooper Basin applicants (blocks Act 2000. Companies are now able Potential exists for native hydrogen economic feasibility of clean hydrogen current licences and applications can be CO2019-A to E) will have to conclude to apply to explore for hydrogen via a plays in South Australia – possible In September 2019, South Australia’s while reducing Cooper Basin emissions. accessed here: https://www.petroleum. native title land access agreements PEL and the transmission of hydrogen source rocks occur in iron-rich cratons Hydrogen Action Plan was launched sa.gov.au/licensing-and-land-access/ ahead of licence grant – either via the or compounds of hydrogen are now (hydrogen generated by oxidation with an initial focus on ‘green’ hydrogen SA offers a Free Hydrogen Export onshore-licensing ILUA process or the right to negotiate permissible under the transmission of Fe(II) by water) and uranium-rich from renewable energy sources. Santos Prospectus and Online Modelling Tool

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139°0'E 140°0'E 141°0'E

PELA 676 conjunctive petroleum ILUA with the in-depth study. GISERA have engage Santos drilled 65 of the SA Cooper Wangkangurru/Yarluyandi people was local stakeholders as well as industry Basin wells, Beach Energy drilled 43. registered with the National Native and regulators to research social and Success rates are shown in Figure 3 and Title Tribunal. environmental issues related to natural Table 1. 0

9 gas operations. The initial tranche of six 2

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E PEL 570 A meeting was held with representatives projects have been completed and four As at 30 April 2021, 5 appraisal and 12 P PELA 675 of the Dieri native title holders in research projects are ongoing and will development wells have been drilled in February 2020 to initiate discussion on conclude in 2021-22 the Cooper-Eromanga basins. the development of a similar conjunctive ( ). PEL 444 https://gisera.csiro.au/states/sa/ 570 Petroleum wells spudded 2019 to 2020 PELA ILUA. Otway Basin: One petroleum 676 677 ª Dry hole S ' Drilling & Seismic Surveys development well was drilled in the SA 0 ¨ ° ª Dry hole with oil shows 7 To date, industry has signed on to Otway Basin in 2020 (Haselgrove 4 side 2 676 i Gas shows at least nineteen ILUA’s with the Cooper Basin: In 2020, a total of 108 track). * Gas well ' Yandruwandha/Yawarrawarrka and wells were drilled including side tracks, Oil well Wangkangurru/Yarluyandi people, of 95 (6 exploration, 25 appraisal, 64 Vintage Energy (JV partner of Otway 570 : PEL 630 Proposed or currently drilling 677 which 12 related to the granting of development) have been cased for Energy in PEL 155) reported strong CO2 ª: PELs in the Cooper/Eromanga Basins. production (Figures 2, 3 and 4). flow rates during production testing of ª:¨ PEL 182 * 3D Seismic survey area 1 ' 3 PEL 570 3 * PEL 512 PEL 630 * Acquired 2019 to 2020 L i Cooper/Eromanga Basins Aboriginal

E * i i 677 D P * ' * i * * i N Conference: The Cooper Eromanga * * * A '' L Basins Aboriginal Conference ¨ '' S New Entrants Santos Joint Venture All ªª' PELA Petroleum tenements ''''' 678 N '' E ª¨ Production licence (PPL) (CEBAC), supported by the South ' Cooper Basin E ª'¨' * ") U ' '''¨'' * Innamincka Australian Government, was most ª¨ '''ª'''' Q Retention licence (PRL) ''''' * Exploration wells drilled 300 55 355 ¨ ** * recently held in October 2019 ª¨'ª'¨ * Exploration licence (PEL) 678 and continues to bring together ª Exploration licence application (PELA) ª¨ 678 ª¨ representatives from the Dieri, Commercial success rate (%) 40 52.7 '¨ ªª¨ ¨ * * Gas pipeline S ª ª *i * ' * 516 *

0 ¨ * Yandruwandha/Yawarrawarrka and

° ª ª ¨ 8 ªª' ** ª Gas and liquids pipeline 2 i i * *i * Wangkangurru/Yarluyandi people Moomba* * Liquids pipeline * ")* * * Technical success rate (%) 44 54.5 ¨ together with executives of oil & gas 3 ª * * * 7 ¨ * 6 ª *i * ** ****** industry participants within the basins, A * * L PEL 512 * E * Cooper Basin subcrop limit as well as government officials in P i* * PEL Appraisal & development wells drilled 302 722 1024 516 order to foster ongoing relationship PEL 112 i PEL 639 * National Park with no petroleum access building and increased Aboriginal Commercial success rate in appraisal & Eromanga Basin * * 88 95 PELA 516 'ª¨ ' * participation in the oil and gas sector development wells (%) 679 ''' ' 516 * PEL 515 PELA ' workforce. 679 '''''ª PEL 641 Table 1: Cooper and Eromanga basins conventional oil & gas success rates, January 2002 to 23 April 2020. Over the 2018-19 period, key focus 516 areas of the program have included PEL 95 Figure 3: Oil exploration success rates for the SA Cooper region, 1962 to 2020.

0 PEL 641 6 PEL 94 developing strategies to encourage 5 0 50 km A Aboriginal people to undertake L

E PEL 515 Oil discovery P PELA 642 GDA 2020 : Zone 54 pre-employment training, as well as the success in assisting to secure ten 1 08

S Breguet 1 ' 0

° Figure 2: Map showing Cooper Basin tenements, employment placements for Aboriginal 9 NSW August 2018

2 PELA 640 PEL 96 205498-002 drilling and seismic acquisition in 2019-20. people in the oil and gas industry. 160 Participating employers include Santos Limited, Compass Group (who 140 and Prospectus (released October  4 in the Eromanga Basin; Conjunctive Indigenous Land provide camp and facilities services in Morris 1 120 April 2015 2020): https://hydrogenexport.sa.gov. Use Agreements (ILUAs) Moomba), OZ Minerals, Schlumberger au/  1 in the Officer Basin; and and Global Engineering. The CEBAC 100 Flax 1 The following conjunctive ILUAs are in program has been largely dormant January 2004 Native Title/Land Access  2 in the Arrowie Basin. place over much of the Cooper Basin: during the COVID pandemic, however 80 Keleary 1 Hobbes 1 a return to normal activity is expected September 1991 May 2008 Right to Negotiate: To date, the relevant All of these South Australian agreements  In February 2007, the Yandruwandha/ later in 2021. 60 Strzelecki 3 registered native title claimants/holders, cover the full cycle of petroleum Yawarrawarrka people entered October 1978 petroleum explorers and the State activities including exploration, into the first petroleum ILUA in the Gisera 40 Moomba 104 Government have concluded 55 land development and production. An South Australian Cooper Basin over February 2000 access agreements in relation to a total additional twelve PEL applications are approximately 40,000 km2. This To foster a constructive dialogue 20 of 51 licence areas: currently progressing through the Right agreement also represented the in the State’s South East, in 2017 to Negotiate process, pursuant to the first conjunctive petroleum ILUA in a the South Australian Government 0  7 in the Arckaringa Basin; Native Title Act 1993 or will alternatively productive province in Australia. partnered with CSIRO’s Gas Industry 0 100 200 300 400 600500 700 800 enter into an existing Indigenous Land Social and Environmental Research  37 in the Cooper Basin; Use Agreement.  On 2 February 2012, a second Alliance (GISERA) for a three-year Oil exploration well 205498-003

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5.58 TCF sales gas (since 1970), 225.02 mmbbl oil Cumulative (from 1983), 89.3 mmboe Production LPG (from 1984), 87.63 Nangwarry 1 in April 2021. Flows Cumulative petroleum production is were $120.3m, with estimated total (2019-20) were 12-14 mmscfd through two shown in Table 2 and Figures 5-9 show product sales of $1.53b. This brings mmboe condensate (from 48/64” chokes – equivalent to a sales and production trends. Detailed the cumulative royalty paid since 1983) 68/64” choke and flowing wellhead production data (to well and individual 1970 to $3.37b (2019/20 dollars) pressures held relatively stable at pool level) can be accessed via the PEPS and cumulative sales to an estimated Annual 82.61 BCF sales gas, 9.99 around 900 psi. Vintage Energy have South Australia online database: $54.98b (2019/20 dollars). Production mmbbl oil, 1.17 mmboe LPG, reported gross recoverable estimates https://peps.sa.gov.au/home (2019-20) 0.52 mmboe condensate for Nangwarry-1 CO2: Low of 7.8 Bcf Since 1991 the average royalty paid (3.9 Bcf net), Best of 25.1 Bcf (12.6 Petroleum royalty payments to the equals a globally competitive 6.79% of Table 2: South Australian Cooper Basin Bcf net), High of 82.1 Bcf (41.1 Bcf State for the 2019/20 financial year the sales value. production statistics. net) (Vintage Energy ASX release, 31 August 2020). Figure 7: Crude Petroleum sales (2019 – 20 $m) Royalties (2019 – 20 $m) Crude oil sales (ML) Price ($/bbl) The Joint Venture are aiming to 2000 1 5 0 oil sales, 2010–11 to 3000 150 2019–20. produce food grade CO2 which is Sales Unit price 2750 140 1800 used for refrigeration/dry ice (vaccine Royalty received Sales 130 1600 120 storage), carbonation of soft drinks 2500 and beer, firefighting equipment, 120 1400 medical devices and winemaking. 2250 110 2 1200 90 CO was previously sourced from the 2000 100 Caroline 1 well operated by Air Liquide 1000 in the SA Otway Basin, which was on 1075 90 800 production between 1969 and 2017. 80 60 15 00 70 600 1025 Leigh Creek Energy’s Underground 60 400 30 in 2018, Coal Gasification Project: 1000 50 the South Australian Government 200 40 approved Leigh Creek Energy to 750 0 0 construct and operate a small scale, 30 500 10 11 12 3 3 4 4 5 5 6 6 7 7 8 8 9 9 20 20 - 2011-12 20 -1 201 -1 201 -1 201 -1 201 -1 201 -1 201 -1 201 - pre-commercial demonstration plant 20 205498-008 205 to test the commercial feasibility 10 Figure 8: Condensate Condensate sales ()10³kL of underground coal gasification 0 0 sales, 2010–11 to 2019–20. at Leigh Creek. Leigh Creek Energy 400 10 11 11 12 12 3 3 4 4 5 5 6 6 7 7 8 8 9 commissioned the demonstration 20 - 20 - 20 -1 201 -1 201 -1 201 -1 201 -1 201 -1 201 -1 2019-20 305 plant in October 2018, and 205498-006 Figure 5: Petroleum sales and royalty decommissioned the plant in April payments 2010–11 to 2019–20. 300 2019. LCK have indicated that they 250 intend to continue exploration PJ PJ activities to identify and delineate Cooper Basin Otway Basin 200 potential structures, the depth of the 100 5 Nangwarry 1 production test courtesy of Vintage Energy. 150 coal seams, formation permeability Cooper Basin Otway Basin and stress orientations. 100 Wells 80 4 80 50 Tri-star ENERGY’s Arckaringa basin Petroleum exploration and appraisal 0 exploration: Tri-Star Energy’s Statement Petroleum development of Environmental Objectives (SEO) for 70 60 3 Geothermal 10 11 12 3 3 4 4 5 5 6 6 7 7 8 8 9 9 20 fracture stimulation in their Arckaringa 20 - 2011-12 20 -1 201 -1 201 -1 201 -1 201 -1 201 -1 201 -1 201 - Resourcegas play 205498-009 Basin PEL 122 and 123 licences was 60 Figure 9: LPG sales, 40 2 (10³ t) approved and gazetted on 4 April LPG sales 2010–11 to 2019–20. 300 2019 following a public consultation 50 process. Tri-Star are currently in the 20 1 250 process of reviewing the SEO for drilling 40 in the Arckaringa Basin, and will not 200 commence operations until it receives 0 0 30 150 the final stage of government approvals. 10 11 12 3 3 4 4 5 5 6 6 7 7 8 8 9 9 20 20 - 2011-12 20 -1 201 -1 201 -1 201 -1 201 -1 201 -1 201 -1 201 - 205498-007 100 Seismic acquisition: no seismic was 20 Figure 6: Gas sales, 2010–11 to 2019–20. acquired in South Australia during 50 2020. Up to three 3D seismic surveys 10 are expected to be acquired during Figure 4: Exploration, 0 2021. 0 development and appraisal drilling statistics, 2011 to 10 11 12 3 3 4 4 5 5 6 6 7 7 8 8 9 9 20 2011 2012 2013 2014 2015 2016 2017 20182019 2020 2020. 20 - 2011-12 20 -1 201 -1 201 -1 201 -1 201 -1 201 -1 201 -1 201 - 205498-010 205498-005 6  | PESA News | SECOND QUARTER 2021 SECOND QUARTER 2021 | PESA News | 7 TECH TALK TECH TALK

Marla ") Patchawarra East Pipeline 1 from PACE Gas supported projects Moomba North Cooper Basin include more than 5,000 tera-joules Refracture Stimulation 2 (TJ) of natural gas produced for South Moomba Moomba Heat Recovery ") 6 Australian customers from February Moomba South 3 2018 to December 2020. Under-Balance Drilling 7 Coober Pedy Production from PACE Gas projects has ") Gemba Conventional Tight Gas 4 averaged 10 Tj/day from the Cooper Southern Cooper Basin and 10Tj/day from the Otway Basin Gas Project Basin. Highlights include: Marree ")  Beach Energy’s Haselgrove 3 and Dombey 1 Otway Basin gas discoveries. Successful follow-up ") Leigh Creek drilling at Haselgrove 4 and funding from the Commonwealth’s Gas Acceleration Program (GAP) enabled Beach to construct a new gas plant at Katnook and this is now supplying gas Cooper Basin well head. to local markets in the South East. Ceduna ")  Senex Energy-operated Vanessa East Hackney Roads, Adelaide SA 5000.  Enhancing the rehabilitation and ") Port Augusta Pipeline and Gemba gas discovery For details: https://www.petroleum. decommissioning security provisions are both supplying gas to the Pelican sa.gov.au/roundtable of the Act; ") Point Power Station. Port Bonython REVIEW OF THE PETROLEUM  Introducing Ministerial determinations,  Santos-operated Cooper Basin to provide more explicit guidance 0 100 200 km & GEOTHERMAL ENERGY re-fracture stimulation and ACT 2000 and tailored legislative requirements underbalanced drilling projects, are outside the regulations; both supplying gas. The Department for Energy and Mining (DEM) continues to maintain leading  Adding greater flexibility over licences For more information go to: practice regulation of the petroleum, such as the size of the licence area ") Port Lincoln https://www.petroleum.sa.gov.au/ gas storage and transmission, and and strata titling; and ") ADELAIDE industry-activity/pace-gas-grants geothermal energy industries in South PACE Gas Projects Australia through regular reviews of the  Aligning the penalties under the PGE Round 1 Round 2 ROUNDTABLE FOR Petroleum and Geothermal Energy Act Act with comparative regulations 1 - Senex Energy Ltd 6 - Santos Ltd OIL & GAS IN SA 2000 (PGE Act). A review of the current within the state and other jurisdictions. 7 - Senex Energy Ltd 2 - Santos Ltd PGE Act and associated Regulations 8 - Beach Energy Ltd The Roundtable for Oil & Gas Projects commenced in 2021. These proposed amendments will 3 - Santos Ltd 9 - Vintage Energy Pty Ltd in South Australia was formed in 2010 maintain the PGE Act as a modern, 4 - Strike Energy Ltd and its members come from industry, The amendments expand the scope efficient an effective regulatory framework 5 - Beach Energy Ltd governments, peak representative of the PGE Act to cover pipeline for the upstream energy industry organisations for industry, environment transportation of future fuels such delivering outcomes that meet both Commonwealth GAP Grant Petroleum pipeline licence Dombey Drilling 8 protection organisations, aboriginal as hydrogen. South Australia's community and investor expectations. Haselgrove Deep Drilling 5 ð Beach Energy Ltd Gas people, research institutions and commitments in the Climate Change Gas and liquids Katnook Gas Plant ð 9 individuals. The aim of the Roundtable is Action Plan to embrace future fuels, An Issues Paper is publicly available. ") Liquids Mount Gambier to provide a forum for members to help presents a need to ensure that A presentation on the Issues Paper is Nangwarry Drilling inform the South Australian Government appropriate regulatory frameworks also available. Figure 10: Location of PACE Gas grant projects. Otway Basin 205498-011 on the key priorities that will underpin are in place for the safe operation of the Roadmap of Onshore and Offshore essential infrastructure for such fuels. In It is suggested that the Issues Paper Oil & Gas Projects. keeping with this extended scope, and be read in conjunction with the current GAS INCENTIVISATION unlock more than 1,950 petajoules (PJ) competitively priced gas to South to better reflect the existing scope of Petroleum and Geothermal Energy Act of gas and all but two projects (pending Australian markets. PACE Gas funded The last meeting was held on 11 the PGE Act for petroleum, gas storage 2000 and Petroleum and Geothermal Pace gas grants results of flow testing) have now discoveries and additional production November 2019 but the 2020 meeting and geothermal activities, the review Energy Regulations 2013. delivered gas to SA markets. will generate royalties and deliver gas was cancelled due to Covid-19 proposes that the title of the PGE Act be PACE Gas grants are supporting a strong from fields located nearer to markets restrictions. You are welcome to attend changed to the Energy Resources Act. Public submissions on the Issues Paper and diverse portfolio of projects in the Round one aimed to deliver additional than from interstate. the next meeting of the Roundtable for are now closed. Cooper and Otway basins (Figure 10) gas to markets from the end of 2019, Oil & Gas Projects in South Australia: Other key improvements include: that are expected to result in more than and round two by the end 2020. PACE The Department for Energy and Mining REGULATORY COMPLIANCE $223 million of industry co-investment. Gas is aimed to bring forward industry continues to monitor progress and When: TBC in December 2021  Enhancing stakeholder consultation The nine grants approved under the investment that would increase success of the existing nine PACE- Where: National Wine Centre of requirements for statement of The Petroleum and Geothermal Energy program target upside potential to the supply of locally produced and funded projects. Production results Australia, Corner of Botanic and environmental objectives; Act is designed as an effective, efficient

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Figure 11: Screen capture of the new PEPS Core Photo database

and flexible regulatory system for all industries covered by the Act. Current In addition, as well as individual photo exploration and production activities for and previous reports can be accessed downloads, users can download all core petroleum, gas storage and geothermal here: https://www.petroleum.sa.gov. photos for the selected well in a zip file. resources onshore in South Australia, as au/regulation/compliance-and- well as the construction, operation and monitoring The online database can be found here technical regulation of high-pressure https://peps.sa.gov.au/home  transmission pipelines. NEW WEBSITE

Key objects of the Act include: DEM-ERD launched a new website in December 2020, readers are asked to  protecting the public and the update their web favourites with the environment from risks inherent in new address: activities regulated under the Act; https://www.petroleum.sa.gov.au/

 establishing appropriate consultative NEW VIRTUAL SA CORE processes, both with people directly LIBRARY affected by activities regulated under the Act, and the general public; and In April 2021, DEM-ERD launched a new module of the PEPS South Australia  ensuring appropriate levels of security online database detailing 2,400 cored of natural gas supply. intervals from petroleum and geothermal drillholes and containing 13,000 core DEM Energy Resources Division photographs (~32 GB in total). prepares an annual compliance report to report on the administration of the Act Users are able to preview, interact with and the regulatory performance of the and download individual core photos.

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Department for Energy and Mining South Australia

Elinor Alexander Director Geoscience and Exploration Branch Energy Resources Division

July 2021 SA’s diverse rock record SA’s rock record

Prospective basins

Australian Shield (Archaean-Mesoproterozoic) Tasman Fold Belt (late Neoproterozoic-Mesozoic) Southern Margin

OZ SEEBASE ® Image (Geognostics, 2021) Palaeoproterozoic Archaean Modified from Sorkhabi, R. (2009). Earth, 54(12) SA offers: • Acreage positions up to 10,000 km2. • Easy access to well and seismic data. • Blue sky opportunities in frontier basins with bona fide oil and gas shows (red and green on map). • Neoproterozoic-Cretaceous plays. • Gas storage and CCS licensing regime in place. • Hydrogen exploration & pipeline transmission now under the PAGE Act 2000 and Regulations. 200 km • For more information on prospectivity: Oil and gas shows, prospective basins and coal measures https://www.petroleum.sa.gov.au/geology-and- Hydrogen shows prospectivity Pedirka Basin Licences PEL applications: Arckaringa Cooper • Fee $4,755. Basin Basin Officer • 5 year work program. Basin • Evidence of technical & financial capacity. https://www.petroleum.sa.gov.au/licensing-and-land- access/onshore-licensing/how-to-apply Arrowie Basin Competitive tender regions: • Cooper & Otway basins. • Vacant acreage only available via releases. • Work program bidding. Bight • No acreage releases planned this year. Basin

Over-the-counter applications: • Everywhere else. • Applications can be lodged at any time. Otway • ‘Top filing’ option exists over PELAs (pink areas). Basin https://www.petroleum.sa.gov.au/licensing-and-land- access/onshore-licensing/overlapping-licence-applications https://www.petroleum.sa.gov.au/licensing-and-land-access/onshore-licensing/licence-maps Gas storage and CCS Licences • Leading practice regulation in place for CCS and gas storage. • SA offers: Gas storage licence map oGas Storage Exploration licences (up to 2,500km2), oGas Storage Retention Licenses (up to 1,000km2), 2 oGas Storage Licences (up to 1,000km ). • An operator can fulfil their Gas Storage work program by activity in their overlying PEL, PRL or PPL (if GS licence is not stand alone). • Depleted oil and gas fields in the Cooper and Otway basins have potential as storage reservoirs suitable for CCS. • The proposed Santos Ltd JV CCS project at Moomba, SA Cooper Basin aims to store 1.7 million tonnes/y of CO2 in depleted gas fields. Cooper Basin • CO2019 blocks all under application. • Farm-in opportunities. • No acreage releases planned in 2021. • Cumulative production: 5.6 TCF sales gas since 1970 and 225 mmbbl oil since 1983 (plus LPG and condensate). The SA Cooper Basin offers: •stacked high quality reservoirs, •high flow rates of sweet light oil, condensate & gas, •variety of established oil and gas plays & new play concepts. https://www.petroleum.sa.gov.au/geology-and-prospectivity/late-paleozoic- basins/cooper-basin National Park – no access Production Retention Exploration Exploration Application Otway Basin PACE Gas drilling – SA Govt funded up to $6m, contributed to 3 discoveries: • Beach/Cooper Haselgrove 3 and Dombey 1 gas.

• Vintage/Otway Nangwarry 1 CO2 – high flow rates during recent production testing. • Otway Basin acreage release OT2019-B granted as PELA 680 in February. • Otway Hydrocarbon Generation Model delivery by end 2021. https://www.petroleum.sa.gov.au/geology-and- prospectivity/mesozoic-basins/otway-basin

Chemostratigraphic Correlation Hydrogen exploration in SA

• Exploration for natural hydrogen can now occur via a PEL in SA. • Natural hydrogen may be generated in iron-rich cratons and uranium-rich basement – e.g. Gawler Craton, Curnamona and Musgrave provinces. • 50-80% hydrogen measured in 1931 by DME (photo) in gas samples from wells on Wells with Kangaroo Island (fractured Kanmantoo Gp hydrogen shows metamorphics) and Yorke Peninsula (Early Cambrian limestone). • Two PELAs lodged by Gold Hydrogen.

• SA Hydrogen Action Plan released in 2019 includes an online Hydrogen Export Modelling Tool: https://www.renewablessa.sa.gov.au/topic/hydrogen SA Department for Energy and Mining For more information: https://www.petroleum.sa.gov.au/

Contact: [email protected]