Otway Basin OT2012-A South Australia Acreage Release
Bids close APRIL 4 2 0 1 3
Department for Manufacturing, www.petroleum.dmitre.sa.gov.au Energy Resources Division Innovation, Trade, Resources and Energy August 2012
204315 CONTENTS THE OFFER...... 3 PRODUCTS AND DATA ...... 3 INTRODUCTION ...... 3 PETROLEUM GEOLOGY...... 7 Structural setting ...... 7 Stratigraphy...... 7 Source rock distribution and maturity modelling...... 11 Reservoirs and seals ...... 11 Petroleum entrapment...... 16 Undiscovered conventional resources...... 16 EXPLORATION POTENTIAL...... 17 Shale gas plays...... 17 Casterton Formation...... 17 Upper and Lower Sawpit shales ...... 18 Shale oil play...... 18 Casterton Formation...... 18 Infrastructure and markets...... 22 LAND ACCESS...... 22 National parks and reserves ...... 22 Environmental regulation...... 23 European heritage ...... 23 Aboriginal heritage and native title...... 23 Geothermal Exploration Licences ...... 23 Associated Activities Licences...... 23 CLIMATE AND LAND USE...... 26 BIDDING AND AWARD PROCESS...... 26 CONTACT INFORMATION...... 26 REFERENCES...... 26
Otway Basin OT2012-A 2 South Australia OTWAY BASIN Acreage Release Block OT2012-A BIDS CLOSE 4.00 pm Australian Central Standard Time, Thursday 4th April 2013
THE OFFER ffPEPS database with production, well, seismic A new petroleum exploration licence (PEL) in and engineering data (also downloadable the Otway Basin is being offered by the South from the DMITRE Petroleum website) Australian Government on the basis of work ffcompany prospectivity reports (also program bidding (Fig. 1). Block OT2012-A covers downloadable from the DMITRE Petroleum 5800 sq km comprising partial relinquishments website via SARIG) from PELs 82, 154, 155, 186 and full SARIG (South Australia Resources Information relinquishment of PEL 187. Twenty two wells Geoserver) can be accessed by selecting SARIG have been drilled and 4468 line kilometres of 2D on the DMITRE Petroleum website
Otway Basin OT2012-A 3 Otway Basin, South Australia PETROLEUM LICENCES
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PEL. 82 PEL 496
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139°30'E 140°0'E 140°30'E 141°0'E
REG 204315-012
Petroleum tenements Petroleum wells
. Acreage release block CO2 well Marla )" . )" Oodnadatta CO2 well with oil shows
)" . Moomba Exploration licence (PEL) Dry hole
)" . Coober Pedy Dry hole with oil shows
Exploration licence application (PELA) . Gas shows )" Leigh Creek Production licence (PPL) Gas well
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Ceduna Gas well with oil shows )" Port Retention licence (PRL) . Augusta )" Oil and gas well
. Offshore acreage release block Oil and gas shows Oil well Port Lincoln )" . )" Proposed or currently drilling ADELAIDE Petroleum pipelines Pipeline licence (PL) – gas Otway Basin outline Park or reserve – Mount Gambier )" 250 km Otway Basin no petroleum exploration access Enlargement area
Figure 1 Petroleum licences and OT2012-A acreage release
Otway Basin OT2012-A 4 Otway Basin, South Australia PETROLEUM and GEOTHERMAL WELLS
PEL 127 3 2 . Kingston . )" PELA 610
494 PL13 Sooc Bore 1 . . Wanda 1 503 . . . 208
. Kingston Coal 207 359 499 . . 240
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OT2012-A . 209 . 533 Lucindale 1 .
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Trumpet 1 Camelback 1 .
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Robe 1 . . Lake Hawdon 1 Robertson 1
. Penley 1 . Cowrie 1 1 DW1
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. . Killanoola South 1 Killanoola 1 Lake Eliza 1 Crankshaft 1 Killanoola Southeast 1 . PEL 494 Weatherall 1 Crayfish 1A . . Neptune 1 . East Avenue 1 Sophia Jane 1 . . Reedy Creek 1 PEL 495
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. Penola 1 . Sawpit 1
. PEL 186 Banyula 1 Patrick . 12
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. Troas 1 PEL 154 . . PEL 255 Penola )" St Clair 1 Diamond Swamp 1 Wynn 1 PL16 Pyrus 1 .
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Zema 1 . . PL19
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Chama 1A .
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Laira 1 . Lake George 1 2 202 VICTORIA Hatherleigh 1 PL31 DW1 . Katnook 1 )" Mount Hope 1 Morum 1 . 2 3 . 4 Otway Basin Beachport .
Salamander 1 37°30'S
Heat Flow 11A . Rendelsham 1 .
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PEL 154 Burrungule 1
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PEL 496.
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Kentgrove 1 . Caroline 1
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PEL. 82 Little John 1 PEL 496 Douglas Point 1 2 .
139°30'E 140°0'E 140°30'E SAOW Caroline141°0'E 1
REG 204315-015
Petroleum tenements Petroleum wells
. CO2 well
Acreage release block . Marla )" )" Oodnadatta CO2 well with oil shows
. Moomba )" Exploration licence (PEL) Dry hole
. Coober Pedy )" Dry hole with oil shows
Exploration licence application (PELA) . Gas shows Leigh Creek )" Production licence (PPL) Gas well
. Gas well with oil shows
Ceduna . )" Port Retention licence (PRL) Augusta )" Oil and gas well
. Offshore acreage release block Oil and gas shows Oil well
. Port Lincoln )" Proposed or currently drilling )" Petroleum pipelines ADELAIDE Pipeline licence (PL) – gas Geothermal wells
. Abandoned well
. Otway Basin outline Proposed or currently drilling Mount Gambier )" 250 km Otway Basin Enlargement area Park or reserve – Suspended well no petroleum exploration access
Figure 2 Otway Basin petroleum and geothermal wells
Otway Basin OT2012-A 5 Otway Basin, South Australia SEISMIC LINES
Kingston )"
PL13 37°0'S OT2012-A
Robe )"
Penola )" PL16 PL19
PL19 VICTORIA PL3 )" Beachport 37°30'S
PL4 OT2012-A
Mount Gambier )"
Otway Basin 0 25 50 Kilometres
Datum GDA 94 - Projection MGA Zone 54 38°0'S
139°30'E 140°0'E 140°30'E 141°0'E
REG 204315-016
Petroleum tenements Seismic lines Acreage release block Pre 1980 Marla )" )" Oodnadatta 1980 to 1989 Moomba )" Exploration licence (PEL) 1990 to 1999 Coober Pedy )" Post 2000 Exploration licence application (PELA)
Leigh Creek )" Production licence (PPL) Otway Basin outline Ceduna )" Port Retention licence (PRL) Augusta )" Park or reserve – Offshore acreage release block no petroleum exploration access
Port Lincoln )" )" Petroleum pipelines ADELAIDE Pipeline licence (PL) – gas
Mount Gambier )" 250 km Otway Basin Enlargement area
Figure 3 Otway Basin seismic surveys coverage
Otway Basin OT2012-A 6 139o 140o 141o LIMIT OF CRAYFISH GROUP
37o 37o
LAKE LUCINDALE VICTORIA ELIZA HIGH TROUGH HIGH
TRUMPET FAULT E
B SOUTH AUSTRALIA RO ST C LAI ST R T Tartwaup Hinge CL ROUGH K PENOLA WOAKWINE AIR A KANAWINKA FAULT FAU LA TERRACE LT N G A HATHERLEIGH NE FAULT D BEACHPORT N. FAULT O CHAMA TERRACE O BEACHPORT F Ladbroke Grove field HIGH v A HATHERLEIGH SW FAULT U 34% CO v LT 2 Morum High v v S TROUGH RIVOLI v Y TROUGH v v ST v Kalangadoo 1 EM v v K v v AL AN BEACHPORT v GA Merino High SOUTH FAULT v B DO ur O RENDELSHAM r/G Morum Sub-basin HATHERLEIGH a HIGH mb HIGH 0 25 ie HIGH r Lin v eam KILOMETRES ent v TA v NT Mount Gambier AN OT2012-A OO release block Voluta v TROUGH LA Mount Schank Caroline 1 99% CO 2 38o Tertiary Troughs Coastal Hinge 38° Late Cretaceous Highs Portland Trough Outer Margin High Late Cretaceous Troughs Shelf Break Hinge
Early Cretaceous Highs
High Early Cretaceous Troughs Bridgewater Trough v Volcanics
Otway Basin, South Australia
STRUCTURAL ELEMENTS 141o 204315-014 Figure 4 Structural elements peak electricity generation opportunities in the 4, 6, 7) but have only been penetrated onshore. national electricity market (as demonstrated by The rate of rifting slowed during the Barremian the 80 MW Ladbroke Grove Power Station). In to Albian but rapidly increased before the end of 2002–03, the SEA Gas pipeline was constructed the Albian in the northern part of the basin. Over to transport offshore Otway gas from the Iona 4 km of late Albian to Late Cretaceous sediments gas facility in Victoria to Adelaide (Fig. 1). Origin occur within the Morum Sub-basin offshore, and Energy Retail Ltd constructed and commissioned the widespread Cenomanian unconformity is the SESA Pipeline in 2005. This 45 km pipeline predicted not to occur towards the north. connects the SEA Gas Pipeline in Victoria to Epic Energy’s South East Pipeline System and the Two major sedimentary sequences are targets for Ladbroke Grove Power Station. petroleum exploration in South Australia: (i) The Berriasian to Hauterivian sequence PETROLEUM GEOLOGY (Crayfish Group, early rift) is known only from Structural setting the northern area, where E–W and NW–SE The northern limit is defined by outcropping trending half-grabens (Robe, Penola, St Clair early Palaeozoic metamorphic and igneous rocks and Tantanoola Troughs; Figs 5, 9,10) contain (the Padthaway Ridge) and sediments may occur fluvial to lacustrine sediments that are proven up to 160 km offshore. Approximately 70% gas reservoirs. of the basin is offshore. To the west, the basin (ii) The Late Cretaceous sequence (Sherbrook passes into the Duntroon Sub-basin, and in Group) occurs as a deltaic to deep-water the east it continues into Victoria. Offshore it is wedge south of the Tartwaup Hinge (Figs 5, locally bound by a Palaeozoic outer-margin high 8, 11). or volcanics. Separate grabens and half grabens filled with Stratigraphy a Jurassic to Early Cretaceous rift sequence are The oldest unit is the Casterton Formation, a interpreted to exist across most of the basin (Figs volcanic and lacustrine shale unit that occurs in
Otway Basin OT2012-A 7 some wells on the northern flank of the Penola and the Crayfish Group comprises only the Trough and in Victoria, and may occur in the shaly Laira Formation. The Crayfish Group undrilled deeper parts of the Robe and Penola is unconformably overlain by the Eumeralla Troughs (Figs 4, 5). The oldest sequence known Formation, which is a fluvial siltstone – shale in South Australia is the Crayfish Group, sequence with some minor coal and meandering which fills half grabens that can be identified fluvial sandstone units. The Windermere in Figure 7. The first unit is the Pretty Hill Sandstone is a regionally extensive transgressive Formation, a braided fluvial sandstone that sand unit which overlays the Crayfish occurs in the deepest parts of the troughs. This unconformity and thickens within the Early is followed by fluviolacustrine shale and siltstone Cretaceous troughs. The Eumeralla Formation (Laira Formation), which in turn is overlain by the (Fig. 5) comprises extensive fluviolacustrine braided fluvial Katnook Sandstone. The Katnook volcanogenic sediment deposited during the sag Sandstone thickens to the NW, essentially as phase of the basin. a sandy facies of the Laira Formation. On the The Late Cretaceous Sherbrook Group (Fig. 5) extreme northern margin, both the Katnook overlies the Otway Supergroup as a deltaic Sandstone and Pretty Hill Formation are absent, wedge that rapidly thickens to the south
spore–pollen CHRONOSTRATIGRAPHY ROCK UNIT OIL AND GAS DEPOSITIONAL TECTONIC TIME zones OCCURRENCES STRUCTURAL EVENTS (Ma) SERIES DIVISION STAGES ENVIRONMENT STAGES HOLOCENE RECENT VOLCANICS Basaltic pyroclastics PLIOCENE-PLEISTOCENE of Mt Gambier region. 10 MIOCENE Early Serravallian T. bellus Gambier Limestone 25 400 m Inversion Late Burdigalian P.tuberculatus Gellibrand OLIGOCENE to Rupelian sea level changes Early GROUP 21 m Marl 36 28 m — channelling
Compression HEYTESBURY Compton Cgl Late Priabonian N. asperus Marine prograding Narrawaturk Marl Mepunga Fm sequence. Fast Bartonian NIRRANDA Continued thermal Middle GROUP subsidence EOCENE Lutetian — clastic starvation P.asperopolus Dilwyn Formation 593 m Fahley 1 Dilwyn: fluvial and delta. Ypresian Early M. diversus Pember Mudstone 198 m Pember: inter- GAMBIER BASIN 54 Curdie 1 distributary bay muds. Late Thanetian GROUP
WANGERRIP PALEOCENE L. balmei Lindon 1 Pebble Point: inter- TASMAN SEA SPREADING Early Danian Pebble Point Formation 90 m distributary bay muds. 65 T. longus Maastrictian Timboon: upper delta plain 73 Timboon regressive unit, Sandstone intermittent marginal marine influence. T. lillei Paaratte Paaratte: lower delta Campanian Formation plain, lagoonal and 1590 m marginal shoreface. N. senectus Belfast: complex of 1987 m upper pro-delta, SOUTHERN OCEAN SPREADING Episodic uplift slope, delta front and 83 Breaksea Reef 1 Slow and erosion events Late interdistributary Argonaut facies, mixed sand/ Slope Port Campbell 1 mud slope fan. Santonian fan Member T. apoxyexinus Caroline 1 (Co ) Flaxman: lower delta 87.5 2 Coniacian North Paaratte 3 plain distributary, Thermal subsidence SHERBROOK GROUP Belfast Mudstone Westgate 1A proximal to ?marine (down to south) 88.5 – restricted marine 1362 m Minerva 1 environment. Turonian P.mawsonii CONDENSED SECTION Normanby 1A Waarre: upper delta Flaxman Fm Iona 1 plain to low sinuosity Waarre Ss fluvial, beach barrier, Grumby 1 coal swamp. Rifting south of Tartwaup Hinge 91 Copa Fm 204 m North Paaratte 1 Copa: meandering A. distocarinatus 167 m Caroline 1 fluvial to lacustrine Cenomanian TASMAN SEA RIFTING
SUPGROUP Minerva 1 CRETACEOUS SHIPWRECK possible upper delta Continental separation 96 ? La Bella 1 plain. regional uplift — erosion, P.pannosus Thylacine 1 NW–SE compression Geographe 1 Eumeralla: meandering Eumeralla unnamed Crayfish 1A fluvial lacustrine and C.paradoxa Port Campbell 4 backswamp. Local Albian ss channel sands from Formation Windermere 1 Offshore rift/ Crayfish 1 base level C.striatus Katnook 2 reactivation. onshore sag Windermere 2 113 Aptian 2500 m+ 21 m
P.notensis Katnook 1 Windermere: OTWAY BASIN Barremian Windermere Sandstone Member meandering to distal
119 braided fluvial. SAG / RIFT Katnook Ss Tilting, folding, 690 m uplift, erosion 125 Katnook: Early meandering to distal Hauterivian upper braided fluvial. F. wonthaggiensis Katnook Field OTWAY SUPERGROUP Laira Formation Laira: lacustrine, Haselgrove Field 890 m minor meandering Redman Field fluvial. Ladbroke Grove Field Laira 1 131 upper Sawpit Crayfish 1A Pretty Hill: sandy lower shale mbr braided fluvial.
F. wonthaggiensis CRAYFISH GROUP Valanginian Sawpit Shale: Wynn 1 lucustrine, overbank. Rifting upper Pretty Hill Jacaranda Ridge 1 C. australiensis Formation Sawpit ss mbr Killanoola 1 Sawpit Sandstone: 138 ?5000 m braided, minor Berriasian L C. australiensis lower Sawpit meandering fluvial. 144 shale member Casterton: lacustrine. Tithonian with unnamed fluviolacustrine. Casterton shale at base JURASSIC Late R. watherooensis Formation
RIFTING Kimmeridgian ?500 m 150 Doming, NW–SE extension 300 Sawpit 1 Sandstone, low-grade KANMANTOO GROUP metasediments, PALAEOZOIC phyllite,metavolcanics. Kalangadoo 1 (CO2) 550 EQUIVALENTS granite intrusives 200967-020 Figure 5 Otway Basin stratigraphy
Otway Basin OT2012-A 8 Otway Basin, South Australia GRAVITY IMAGE MAP
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139°30'E 140°0'E 140°30'E 141°0'E
REG 204315-017
Petroleum tenements Petroleum wells
. Acreage release block CO2 well Marla )" . )" Oodnadatta CO2 well with oil shows
)" . Moomba Exploration licence (PEL) Dry hole
)" . Coober Pedy Dry hole with oil shows
Exploration licence application (PELA) . Gas shows )" Leigh Creek Production licence (PPL) Gas well
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Ceduna Gas well with oil shows )" Port Retention licence (PRL) . Augusta )" Oil and gas well
. Offshore acreage release block Oil and gas shows Oil well Port Lincoln )" . )" Proposed or currently drilling ADELAIDE Petroleum pipelines Pipeline licence (PL) – gas Otway Basin outline Park or reserve – Mount Gambier )" 250 km Otway Basin no petroleum exploration access Enlargement area
Figure 6 Gravity map, Otway Basin, South Australia
Otway Basin OT2012-A 9 Otway Basin, South Australia CRAYFISH ISOPACH MAP
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Otway Basin PEL 496. – -3439
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PEL. 82 PEL 496
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139°30'E 140°0'E 140°30'E 141°0'E
REG 204315-018
Petroleum tenements Petroleum wells
. Acreage release block CO2 well Marla )" . )" Oodnadatta CO2 well with oil shows
)" . Moomba Exploration licence (PEL) Dry hole
)" . Coober Pedy Dry hole with oil shows Exploration licence application (PELA) . Gas shows )" Leigh Creek Production licence (PPL) Gas well
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Ceduna Gas well with oil shows )" Port Retention licence (PRL) . Augusta )" Oil and gas well
. Offshore acreage release block Oil and gas shows Oil well Port Lincoln )" . )" Proposed or currently drilling ADELAIDE Petroleum pipelines Pipeline licence (PL) – gas Otway Basin outline Park or reserve – Mount Gambier )" 250 km Otway Basin no petroleum exploration access Enlargement area
Figure 7 Crayfish Group isopach map, Otway Basin, South Australia
Otway Basin OT2012-A 10 accounting for most of the sediment in the Type II and III source rocks and are mature for oil Morum Sub-basin. In the northern part of the making them a suitable source for Waarre and basin, where the group is thin, it comprises a Flaxman targets. coarse sandstone that represents a condensed For the southern portion of the acreage release equivalent of the Copa, Waarre, Flaxman, Belfast, area, coals and possible profundal shales within Paaratte and Timboon units found to the south. Eumeralla Formation, Waarre Sandstone and Offshore, beyond the present day shelf, thick Belfast Mudstone contain potential Type II and III packages of high-amplitude reflectors indicate source rocks and are mature for oil to the south the possible presence of paralic oil-prone coals of the Tartwaup Hinge (Fig. 17). or marine oil shale. From Belfast Mudstone to
Timboon Sandstone the sequence represents a The CO2 in Caroline Field has a volcanic source, prograding delta, with early marine influence assumed to be from the Holocene Mt Gambier and deep-water submarine slope-fans along the volcanic chain, which trends NW through the outer margin. Thickening of Cainozoic sediments Tantanoola Trough (Fig. 4). Carbon dioxide south of the Tartwaup Hinge provide adequate from a magmatic source has also been noted depth of burial of the Late Cretaceous sequence in Ladbroke Grove Field and Kalangadoo 1. The to generate hydrocarbons (Fig. 8). Regional Caroline 1 well is the single most profitable well sections across the Otway Basin are shown in in South Australia. Figures 9, 10 and 11. Maturation profiles are strongly influenced by the thickness of the Late Cretaceous and Source rock distribution and maturity Tertiary (Figs 8, 17). In addition for the Early modelling Cretaceous play, each discrete half graben or Source rocks are capable of producing both structural province appears to have its own gas and oil and the present day temperature intrinsic sedimentological and thermal history. gradient is moderate, averaging ~2.7–3.6 °C per Accordingly, source rock distribution, richness, 100 m depth. kerogen type and quality can be highly variable There are numerous source rocks throughout the as a consequence of the basin architecture. Late Jurassic to Tertiary section of the western In South Australia oil is produced in negligible Otway Basin (Fig. 4). For the northern portion amounts from Caroline 1 and in 1992 heavy of the acreage release area, only the Casterton crude was recovered from Sawpit 1 over a 32 m Formation and Crayfish Group sediments are interval below 2514 m. The oil is presumably likely to have source potential (Figs 12, 13). sourced from Otway Supergroup sediments. These source rocks are non-marine, Type III to IV In 1994 Wynn 1 recorded the first liquid kerogen type derived from land plants with some hydrocarbon flow in the Otway Basin and non-marine Type II algal rich shales occurring, Killanoola 1 (1998) produced 160 kL (1000 bbl) especially in the early rift succession. Sediments on test, however neither are currently deemed of the Casterton and near the base of Crayfish economic. Jacaranda Ridge 2 (2007) appraised Group tend to be over mature for oil generation 1.2 bcf of gas and 60 000 bbl of condensate. in the deeper portions of half graben and mature Hollick 1 and Patrick 1 wells, both drilled in for gas. On the flanks of these troughs they tend 2010, have both flowed gas on extended to be early mature to mature for oil whilst on production test and have produced modest basement highs they are immature to marginally amounts of gas and condensate. These wells are mature for oil generation (Figs 15, 16). currently tied into the Katnook Gas Plant. The Eumeralla Formation is not deep enough in the northern portion of the basin to be a source Reservoirs and seals and shallow northern targets would rely on long- The Otway Basin contains a range of reservoirs range migration, which may be impeded by the that generally exhibit good porosity and high density of E–W faults. However to the south permeability, and are predominantly in non- of the Tartwaup Hinge, where thick Sherbrook marine fluvial sandstones. Exploration risk sediments occur, coals and possible profundal associated with reservoir quality and distribution shales within Eumeralla Formation (Fig. 14), is generally low, but risk associated with seal Waarre and Belfast Mudstone contain potential is more variable. Almost all formations from
Otway Basin OT2012-A 11 Otway Basin, South Australia CAINOZOIC SEDIMENTS ISOPACH MAP
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R . PEL. 82 – -1149 O PEL 496 UG . H – -1439 139°30'E 140°0'E 140°30'E 141°0'E
REG 204315-019
Petroleum tenements Petroleum wells
. Acreage release block CO2 well Marla )" . )" Oodnadatta CO2 well with oil shows
)" . Moomba Exploration licence (PEL) Dry hole
)" . Coober Pedy Dry hole with oil shows
Exploration licence application (PELA) . Gas shows )" Leigh Creek Production licence (PPL) Gas well
.
Ceduna Gas well with oil shows )" Port Retention licence (PRL) . Augusta )" Oil and gas well
. Offshore acreage release block Oil and gas shows Oil well Port Lincoln )" . )" Proposed or currently drilling ADELAIDE Otway Basin outline Petroleum pipelines Tartwaup Hinge Pipeline licence (PL) – gas Otway Basin Mount Gambier )" 250 km Park or reserve – Enlargement area no petroleum exploration access
Figure 8 Cainozoic sediments isopach map, Otway Basin, South Australia
Otway Basin OT2012-A 12 Katnook Sandstone type section
Depth Depth Depth Depth Depth Depth Kalangadoo 1 Katnook 2 Sawpit 1 Robertson 1 Robertson 2 Bool Lagoon 1 (m) (m) (m) (m) (m) (m)
000 0 0 0
500 500 500 500 500 500
Kingston SE 1000 1000 1000 1000 1000 Luncindale Naracoorte Eumeralla Formation Bool Lagoon 1 South Australian Robe Robertson 2 reference section upper Sawpit Robertson 1 Sawpit 1 shale mbr Penola 1500 1500 1500 1500 1500 Katnook 2 Beachport Kalangadoo 1 Millicent
lower Sawpit Mount shale mbr Gambier 2000 2000 2000
Laira Fm. Lithological zones Palynological zones
lower C. australiensis to Less than Tertiary 2500 2500 2500 P.pannosus R. watherooens 1% M. evansii Sawpit sandstone member Sherbrook Group C. paradoxa L. balmei
Eumeralla Formation C. striatus T. longus 3000
? Windermere / Katnook Sandstone upper C. hughesi Cuttings Pretty Hill Fm Pretty Hill Formation shales / lower C. hughesi Laira Formation Cores and sidewall Laira Formation cores type section Pretty Hill Formation sands upper F. wonthaggiensis
Casterton Formation undifferentiated F. wonthaggiensis Pretty Hill Formation Casterton Formation South Australian South Australian reference section reference section Basement lower F. wonthaggiensis
upper C. australiensis 200967-052 Figure 9 Wireline log correlation, Kalangadoo 1 to Bool Lagoon 1
Otway Basin OT2012-A 13 Lake George 1 Depth St Clair 1 Depth Reedy Creek 1 Depth Lake Eliza 1 Depth Lake Eliza 2 Depth Lake Hawdon 1 Depth Camelback 1 Depth (m) (m) (m) (m) (m) (m) (m) 0 0 0 0 0 0 0
500 500 500 500 500 500 500
1000 1000 1000 1000 1000 1000 1000
1500 1500 1500 1500
2000 2000 2000 Laira Fm.
2500 2500
Palynological zones Lithological zones
N. asperus undifferentiated F. wonthaggiensis Tertiary 3000
? M. diversus and above lower F. wonthaggiensis Sherbrook Group Kingston SE L. balmei upper C. australiensis Eumeralla Formation Lucindale Naracoorte
Camelback 1 N. senectus Windermere / Katnook Sandstone Robe Lake Hawdon 1 Cuttings Lake Eliza 2 Lake Eliza 1 Pretty Hill Formation shales / Reedy Creek 1 P.pannosus Penola Laira Formation St Clair 1 Cores and sidewall cores Lake George 1 Beachport C. paradoxa Pretty Hill Formation Sands Millicent C. striatus Basement Mount Gambier C. hughesi
upper F. wonthaggiensis 200967-053 Figure 10 Stratigraphic correlation, Lake George 1 to Camelback 1
Otway Basin OT2012-A 14 Timboon Kingston SE Burrungule 1 Sandstone Kalangadoo 1 reference Caroline 1 Breaksea Reef 1 Lucindale N Depth Naracoorte section Depth Depth GR DT (m) Depth GR DT (m) 0 GR DT (m) GR DT (m) 0 0 0 Robe
Tartwaup Hinge Penola 500 500 500 500 Beachport Kalangadoo 1 Coastal Millicent Hinge 1000 1000 1000 1000 Burrungule 1 Mount Gambier S Eumeralla Formation Caroline 1 1500 reference sections 1500 1500 1500
Breaksea Reef 1
2000 2000 2000 2000
Less than 2500 2500 2500 1% M. evansii Lithological zones
Tertiary 3000 3000 Timboon Sandstone
Copa Formation 3500 Paaratte Formation Palynological zones reference sections Paaratte Formation reference section Flaxman Formation M. diversus Belfast Mudstone 4000 reference section Argonaut Member L. balmei Waarre Sandstone reference section Belfast Mudstone and T. longus similar facies Flaxman Formation reference section Waarre Sandstone T. lillei P.pannosus
Copa Formation N. senectus C. paradoxa
T. pachyexinus C. striatus Eumeralla Formation
C. triplex C. hughesi Laira Formation Cuttings
Basement A. distocarinatus upper F. wonthaggiensis Cores and sidewall cores 200967-066 Figure 11 Stratigraphic correlation, Kalangadoo 1 to Breaksea Reef 1
Otway Basin OT2012-A 15 Palaeozoic basement to early Tertiary sands are shale member and Laira Formation acting as the potential reservoirs. seals. Common palaeohydrocarbon columns The most important and oldest established have been intersected and leakage is probably reservoir in the South Australian sector of the caused by the creation of structural permeability across the regional seal. The location of leakage Otway Basin is the Early Cretaceous Pretty Hill depends on the interaction between the seal, Formation, which hosts the commercial Katnook, associated faults, and the regional stress field. Ladbroke Grove, Haselgrove, Haselgrove South and Redman gas fields, and flowed significant Traps for Windermere reservoirs comprise much amounts of oil, condensate and gas from lower relief domes (close to the resolution limit Wynn 1, Killanoola 1, Jacaranda Ridge 1 and 2. of seismic mapping) that are generally un- faulted, and sealed by the Eumeralla Formation. In the Katnook Field, Pretty Hill sands have The base Eumeralla seal is likely to improve porosities in excess of 25%, permeabilities in towards the SW. Considerable potential exists excess of 1000 mD, and flowed over 451 000 m3 for stratigraphic traps, either as meandering (16.01 mmcf) gas per day on test. Reservoir fluvial channels in the Eumeralla Formation (as in permeability does not appear to decrease Katnook Field), or as pinch-outs of the Pretty Hill with increasing depth of burial, although only Formation to the north. the upper part of the Pretty Hill Formation is generally of good quality. Reservoir quality in The Flaxman–Waarre units have proven to be the Windermere Sandstone Member is excellent, excellent gas reservoirs in the Victorian portion although the low relief structures can make it of the basin, and in South Australia contain difficult to avoid water production problems. the Caroline CO2 field. Traps are generally NE tilted fault blocks, bounded by closely spaced Some intra-Pretty Hill Formation shales and rift parallel faults. Offshore, potential exists for the Laira Formation form good top seals to the overpressured submarine slope-fan traps encased underlying Pretty Hill reservoirs, however where within the Belfast Mudstone (Fig. 11). shallow faulting penetrates the Laira Formation, structural permeability controlled by the in situ Undiscovered conventional resources stress field / fault reactivation is a significant risk. The Otway Basin in South Australia is an The Windermere Sandstone Member–Katnook immature exploration province, with high Sandstone reservoir has had commercial gas potential for further discoveries (Fig. 12). production from Katnook 1 and a 2 m column Although gas discoveries to date are relatively exists within Crankshaft 1. But Eumeralla modest in size (average recoverable reserves Formation along the northern and western per field is ~23 PJ (21 bcf)), some discoveries flank of the Otway Basin is a poor seal and the in the offshore Victorian portion of the basin resulting thin hydrocarbon columns have had are an order of magnitude larger (up to 350 PJ water production problems. The Windermere (~321 bcf) in the Minerva Field and ~0.8 tcf in and Katnook Sandstones are usually thicker the Thylacine discovery). Oil discoveries have only toward the centres of the Early Cretaceous recently been made, and there is considerable troughs. potential for significant oil discoveries in the The Waarre Sandstone – Flaxman Formation/ future. Table 1 summarises the undiscovered Belfast Mudstone reservoir/seal couplet hosts the potential for recoverable sales gas resources in commercial Caroline CO field. This proves the 2 Table 1 Undiscovered recoverable sales gas resources of the onshore viability of this system as a potential hydrocarbon Otway Basin (South Australia) trap within the southern portions of OT2012-A, PLAY UNDISCOVERED POTENTIAL PJ (~bcf) south of the Tartwaup Hinge. Probability that the ultimate potential will exceed the stated value: Petroleum entrapment 90% 50% 10% In the northern part of the basin, where Waarre–Flaxman 30 (27) 150 (137) 560 (513) exploration is for Otway Supergroup targets, Crayfish 120 (110) 680 (623) 2330 (2135) Pretty Hill Formation reservoirs of the fields in the Total 180 (165) 900 (825) 2760 (2530) Penola Trough comprise complex, steep sided, Note: Totals do not add arithmetically as they are Monte Carlo E–W tilted fault blocks, with the upper Sawpit simulations. Current 2000.
Otway Basin OT2012-A 16 the key plays of the onshore South Australian 1000 portion of the basin. The offshore potential is as I yet unquantified. 900 The unconventional oil and gas potential of the Otway Basin has yet to be evaluated. 800 VR = 0.5%
700 II EXPLORATION POTENTIAL Bus Swamp 1 Casterton 1 The OT2012-A block is being offered at 600 Digby 1 a time when the economics controlling Gordon 1 McEachern 1 500 commercialisation in the Otway Basin are good, Sawpit 1 with the entire SE Australian gas market accessible via the SEAGAS pipeline and the international oil Hydrogen Index (HI) 400 price at high levels. Both conventional oil and wet 300 gas targets and unconventional shale gas and shale oil targets and discussed below. 200 VR = 1.35% Five main plays exist within these areas: 100 III ffThe proven gas play from within the Penola
Trough, i.e. the Pretty Hill Sandstone, shale- 0 380 400 420 440 460 480 500 520 rich Laira Formation reservoir-seal couplet, o T max C ffThe Jacaranda Ridge Sandstone/Sawpit 204315-023 Sandstone reservoir members of the Pretty Hill Figure 12 HI vs Tmax plot, Casterton Formation Formation overlain by Sawpit shale seal, thought to be the source of commercial gas ffThe Flaxman Formation/Waarre Sandstone accumulations now in production in the Penola reservoirs overlain by Belfast Mudstone seal Trough region. It comprises pre-rift to early syn- which lies in the oil window in the Voluta rift interbedded lacustrine shales, siltstones and Trough, sandstones and volcanic lithologies that have ffThe Casterton Formation shale oil play on the only been sparsely intersected. The formation flanks of the northern Early Cretaceous troughs reaches a maximum known thickness of 230 m (Penola, Robe and St Clair Troughs), and in Casterton 1 and 43 m in Sawpit 1 although it ffThe Casterton Formation/Sawpit shale gas is thought to be up to 500m in the Robe Trough play on the flanks of the northern Early based on seismic interpretation. To date, the Cretaceous troughs (Penola, Robe and St Clair formation has been mostly intersected on the Troughs). northern flanks where it is marginally mature for The latter 2 play types are discussed in more oil (as evidenced by oil shows in several wells) detail below arising from increasing worldwide but not viable as a shale gas play. focus on unconventional shale gas and shale oil TOC values range from 0.6 to 9 percent, resource potential. averaging 1.9 percent (39 samples; 6 wells). The Tmax vs HI cross plot shows that these Shale gas plays organic rich shales are Type II (algal rich oil prone The principal targets for shale gas in the onshore kerogen) to Type III (Gas prone) at the threshold Otway Basin are thick basal shale sequences of the oil window (Fig.12). However, in the within the Otway Supergroup, in particular the deeper portions of the Penola, Robe and Saint Casterton Formation and the Upper and Lower Clair troughs they are expected to be gas prone Sawpit shales (Fig. 5). These non-marine shales with liquids potential. all have good shale gas potential in the deeper Maturity modelling indicates that the Casterton portions of the basin and are discussed below. Formation lies within the gas window at depths in excess of 3800 m in the Penola Trough Casterton Formation and Robe Trough (Fig. 15) but may be locally The Casterton Formation represents the richest shallower in the Robe Trough where seismic source rock of the Otway Supergroup that is coverage is poor.
Otway Basin OT2012-A 17 Somerton Energy is exploring the northern 1000 margin of the Otway Basin in Victoria and I estimates the Casterton Formation, within PEP 900 171 Basin could contain more than 25 trillion Beachport East 1 Bool Lagoon 1 800 cubic feet of gas and significant oil volumes. VR = 0.5% Burrungule 1 Caroline 1 II Chama 1A Upper and Lower Sawpit shales 700 Crankshaft 1 The Upper and Lower Sawpit shales represent Crayfish 1A 600 Geltwood Beach 1 lacustrine deposits at the base of the Crayfish Greenways 1 Group and can reach thicknesses up 900 m and Katnook 1 500 250 m thick). The shales are better developed Ladbroke Grove 1 Laira 1 on the northern flank of the Penola Trough, away Lake Bonney 1
Hydrogen Index (HI) 400 from the axial drainage in the central part of the Reedy Creek 1 Robertson 1 trough which is dominated by stacked fluvial 300 Trumpet 1 channel fill of Pretty Hill Sandstone or Sawpit
Sandstone (Boult and Hibburt, 2002). 200 VR = 1.35%
Rock Eval analyses of samples from the Upper III and Lower Sawpit Shales indicate that the shale 100 is dominated by Type III gas prone kerogen with 0 some Type II algal rich kerogen present (Fig. 13). 380 400 420 440 460 480 500 520 T maxo C TOC values range 0.37 to 2.61 percent and 200967-153 average 1.12 percent (10 wells, 87 samples). Figure 14 HI vs Tmax plot, Eumeralla Formation Maturity modelling in the Katnook area of Access to infrastructure is a key factor in the Penola Trough indicates that peak gas generation from the Casterton Formation and addressing the economic viability of both the Upper and Lower Sawpit Shales occurred in the Casterton and Sawpit Shale gas plays. Main Maastrichtian at ~73 Ma and has remained in exploration risks are: the gas window to present day at depths below ffThe complex faulting resulting from the rift ~3800 m (Fig. 15). through to passive margin tectonic history which could adsorb energy from hydraulic 1000 fracturing, and I ffThe prospective shale units have yet to be 900 fully penetrated in the centre of the Penola Trough so an understanding of gas saturation 800 VR = 0.5% and likelihood of water drive is yet to be II 700 established. Shale oil play 600 Sawpit 1 Robertson 1 Casterton Formation Camelback 1 500 Lake Hawdon 1 As previously discussed, the Casterton Formation Penola 1 represents the richest source rock of the Otway Hydrogen Index (HI) 400 Supergroup and the most likely to be prospective for shale oil. The Tmax vs HI cross plot shows 300 that these organic rich shales are Type II (algal
200 rich oil prone kerogen) to Type III (gas prone) at VR = 1.35% the threshold of the oil window (Fig. 12). III 100 Maturity modelling suggest that the northern flank of the Otway Basin represents the most 0 380 400 420 440 460 480 500 520 prospective area for shale oil play (Fig.15) where T maxo C 200967-146 the Casterton Formation lies in the oil window Figure 13 HI vs Tmax plot, Basal unnamed shale/Sawpit Shale at depths between 2300 m to ~3050 m (early
Otway Basin OT2012-A 18 Otway Basin, South Australia MATURITY at BASEMENT – CASTERTON - BASE PRETTY HILL FORMATION
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Datum GDA 94 - Projection MGA Zone 54 38°0'S
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REG 204315-013
Petroleum tenements Vitrinite reflectance maturity Petroleum wells
. CO2 well Acreage release block Less than 0.5% Immature . CO2 well with oil shows
. Exploration licence (PEL) 0.5% to 0.7% Early mature (oil) Dry hole
. Dry hole with oil shows Exploration licence application (PELA) . 0.7% to 1.0% Mid mature (oil) Gas shows Gas well
Production licence (PPL) 1.0% to 1.3% Late mature (oil) . Gas well with oil shows
. Retention licence (PRL) 1.3% to 2.6% Gas generation Oil and gas well
. Offshore acreage release block Oil and gas shows Over mature Oil well . Proposed or currently drilling Petroleum pipelines Otway Basin outline Pipeline licence (PL) – gas Park or reserve – no petroleum exploration access
Figure 15 Maturity at Casterton–Base Pretty Hill Formation
Otway Basin OT2012-A 19 Otway Basin, South Australia MATURITY at TOP CRAYFISH GROUP
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REG 204315-020
Petroleum tenements Vitrinite reflectance maturity Petroleum wells
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Acreage release block Less than 0.5% Immature . CO2 well with oil shows
. Exploration licence (PEL) 0.5% to 0.7% Early mature (oil) Dry hole
. Dry hole with oil shows Exploration licence application (PELA) 0.7% to 1.0% Mid mature (oil) . Gas shows Gas well
Production licence (PPL) 1.0% to 1.3% Late mature (oil) . Gas well with oil shows
. Retention licence (PRL) Oil and gas well
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Figure 16 Maturity at Top Crayfish Group
Otway Basin OT2012-A 20 Otway Basin, South Australia MATURITY at TOP EUMERALLA FORMATION
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REG 204315-021
Petroleum tenements Vitrinite reflectance maturity Petroleum wells
. CO2 well
Acreage release block Less than 0.5% Immature . CO2 well with oil shows
. Exploration licence (PEL) 0.5% to 0.7% Early mature (oil) Dry hole
. Dry hole with oil shows Exploration licence application (PELA) 0.7% to 1.0% Mid mature (oil) . Gas shows Production licence (PPL) 1.0% to 1.3% Late mature (oil) Gas well . Gas well with oil shows 1.3% to 2.6% Gas generation . Retention licence (PRL) Oil and gas well
. Offshore acreage release block Over mature Oil and gas shows Oil well
. Otway Basin outline Proposed or currently drilling Petroleum pipelines Park or reserve – Pipeline licence (PL) – gas no petroleum exploration access
Figure 17 Maturity at Top Eumeralla Formation
Otway Basin OT2012-A 21 mature for oil; Ro 0.7 to 1.0 percent) and The gas from these fields requires a minimum of ~3050 m to 3800 (later mature for oil; Ro 1.0 processing to yield sales gas, which is then sold to 1.3 percent) in the Robe, Penola, Rivoli and St. at the pipeline outlet from the Katnook Plant. Clair troughs. The main gas customers are the Kimberly Clark paper mill near Millicent, where gas replaced Infrastructure and markets the use of LPG and brown coal briquettes; the Eight commercial gas fields have been discovered Safries potato chip factory near Penola, which in the Otway Basin in South Australia and total was attracted to the area by the natural gas original gas-in-place is estimated at 128 PJ (121 supply; and domestic and industrial customers x 1012 Btu) sales gas. in Mt Gambier, which were previously supplied tempered LPG via a reticulation network. Cumulative production for the Katnook Complex Condensate is stored onsite at the Katnook Plant for the period 1991 to end December 2011 is before transportation by road tanker to the Shell 78.74 PJ sales gas and 68 822 KL (432 875 bbl) Refinery, Geelong, Victoria. condensate. Production rates are in decline with 387.7 TJ of sales gas and 919 KL condensate Opportunities exist for small power stations in a produced in 2011. more competitive electricity market. The strategic location of the Ladbroke Grove Field adjacent Carbon dioxide is also produced from Caroline 1 to the main electricity link between Adelaide well with cumulative production of 766 704 and Victoria, led to Origin Energy seeing an tonnes of saleable CO since production 2 opportunity to use the high-CO2 gas to fire a commenced in 1968. In 2011, 9000 tonnes of 40 MW power station. Gas sourced from the saleable CO2 was produced. Ladbroke Grove Field supplied power into the Epic Energy owns and operates a 46 km long national electricity grid from early 2000 until late pipeline, 150 mm diameter, from the Katnook 2006. gas processing plant to the Apcel paper mill at In 2002–03, the SEA Gas pipeline was Snuggery, 7 km SE of Millicent (Fig. 1). A second constructed to transport offshore Otway gas line, also 150 mm diameter and 19 km long, from the Iona gas facility in Victoria to Adelaide. runs from this line to Mt Gambier. A third line, Origin Energy Retail Ltd constructed and 50 mm diameter, runs from Katnook due east for commissioned the SESA Pipeline in 2005. This 4.5 km to the Safries potato chip factory, 9 km 45 km pipeline connects the SEA Gas Pipeline south of Penola. The pipelines were constructed in Victoria to Epic Energy’s South East Pipeline in 1990 and have a maximum operating pressure System and the Ladbroke Grove Power Station. of 10 000 kPa (1450 psi). A fourth line, 12 km As gas production from Ladbroke Grove Field long and 89 mm diameter, was constructed in ceased in late 2006, sales gas from the SESA the second half of 2000, connecting Kalangadoo pipeline now feeds both turbines of the Ladbroke to Nangwarry timber mill. None of these Grove Power Station. pipelines have compression installed. In addition, the South East of South Australia Gas from producing wells in the Katnook, and western Victoria exhibit a high diversity of Haselgrove, Haselgrove South and Redman gas local industry — consequently, opportunities for fields is piped to a gas treatment plant located gas marketing linked to industry development 300 m SE of Katnook 1 and built in 1991. The in the region are good given the industry base plant was operated by Origin Energy Resources, and service provision in the region. The region however in July 2008, Adelaide Energy Limited is strategically located between the major cities (operator of PEL 255 which includes the of Adelaide and Melbourne and the eastern Jacaranda Ridge 2 discovery) announced that Australian market. it had purchased Origin’s Otway Basin interests including the Katnook Plant. In February 2012 LAND ACCESS Beach Energy completed a 100% takeover of National parks and reserves Adelaide Energy and has in turn taken ownership There are a number of national parks and other of the SE assets. Production was been suspended areas of remnant native vegetation in the area, in October 2011 (due to re-commence shortly). in some of which exploration is permitted, and
Otway Basin OT2012-A 22 in others their small size makes it possible to of the sites are small and easily avoided by work around them (Fig. 18). The reserves have exploration activities. been created to conserve the best examples of vegetation and landforms in the region. There Aboriginal heritage and native title are three types of South Australian reserves In South Australia it is an offence to disturb including conservation parks, national parks or destroy Aboriginal sites, objects or remains. and regional reserves. The conditions of access Standard procedures for determining the vary from park to park, based upon the type of presence of Aboriginal heritage prior to reserve classification, the activity proposed and the commencement of activities have been its likely impact on the environment. determined. These procedures involve consulting with the relevant Aboriginal organisation and Environmental regulation maintaining a watch for sites, objects or remains Energy Resources Division acts as a one-stop during activities. Generally the sites are no shop for explorers in obtaining any necessary larger than a few hundred square metres and environmental approvals on the occasions are easily avoided. Since the inception of the when they are required from other government Aboriginal Heritage Act 1988, there have been agencies. Approvals to conduct field operations no conflicts between Aboriginal heritage sites etc. are first submitted to DMITRE, which and exploration or production activities in South arranges distribution to the other relevant Australia. Licence holders are encouraged to government agencies for comment and then develop a dialogue with regard to Aboriginal issues the necessary approvals. Energy Resources heritage and related matters with Aboriginal Division personnel are available to assist licensees people having associations with their licence prepare the necessary paperwork. area. Native title may be applicable on non An objective based co-regulatory approach freehold land. There are currently no native title applies in SA for the regulation of the upstream applications over the areas on offer, and native petroleum industry to reduce compliance costs title is not likely to be a significant issue in the and deliver better environmental outcomes. As SA Otway Basin area, as most land is freehold or this is a move away from prescriptive regulation permanent leasehold. and the pre-existing ‘command and control’ regime a change in both culture and method Geothermal Exploration Licences are required. There will still be inspection of A number of Geothermal Exploration Licences field operations, including audits by DMITRE (GELs) coincide with petroleum exploration and authorised officers. production licences in the Otway Basin region The following relevant documents have been (Fig. 19). The GEL licensee must be notified of produced by DMITRE Energy Resources Division activities in PELs, and may object to the activity and are available in hard copy or digital formats: and claim compensation if their activities or resources are affected. Likewise the GEL holder Cockshell, D.C. and Langley, K.R., 2001 – must notify the PEL holder of their activities, Statement of environmental objectives seismic and the PEL holder may also object and claim operations in the Otway Basin, SA. DMITRE RB compensation. 2001/020. Roberts, D., 2001, Environmental impact report Associated Activities Licences for seismic operations in the Otway Basin SA. Associated Activities Licences (AALs) are now DMITRE RB 2001/010. (2nd edition). available under the Petroleum and Geothermal Energy Act 2000. These licences allow explorers European heritage to undertake activities (e.g. seismic surveys) or A number of sites of European heritage establish facilities in proximity to petroleum significance such as historic buildings and exploration, retention and production licences. structures and geological monuments occur in AALs are typically used to enable the recording the region. These are indicated on environmental of full-fold seismic within a PEL by recording tails sensitivity maps held by DMITRE. The majority of seismic lines outside the licence area.
Otway Basin OT2012-A 23 Otway Basin, South Australia NATIONAL PARKS and RESERVES
Upper South East (MP) PEL 127 Grass Tree (CP) Mount Scott (CP)
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PEL 496. PEL 82 Dingley Dell (CP) 139°30'E 140°0'E 140°30'E Piccaninnie 141°0'E Lower South East (MP) Ponds (CP) REG 204315-026
Petroleum tenements Petroleum wells Parks and Reserves
. Acreage release block CO2 well Parks or reserve -
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. Gas well with oil shows Retention licence (PRL) . Oil and gas well Otway Basin outline
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Figure 18 National parks and reserves
Otway Basin OT2012-A 24 Otway Basin, South Australia GEOTHERMAL LICENCES
Kingston
OT2012-A 37°0'S
GEL 498
Robe
GEL 214
GEL 498
Penola
GEL 291 Heat Flow 5 . Ladbrook Grove )" VICTORIA Salamander 1 GEL 223 Heat Flow 4 Otway Basin Beachport . 37°30'S Heat Flow 1AHeat Flow 1
.
GEL 484 GEL 170 Heat Flow 3AHeat Flow 3 )" . Snuggery GEL 212
Mount Gambier
OT2012-A
0 25 50 Kilometres
Datum GDA 94 - Projection MGA Zone 54 38°0'S
139°30'E 140°0'E 140°30'E 141°0'E
REG 204315-022
Marla )" )" Oodnadatta Moomba )" Petroleum tenements Infrastructure Coober Pedy )" Acreage release block )" Power station Transmission lines Leigh Creek )" Geothermal tenements
Ceduna )" Port Exploration licence (GEL) )" Augusta Otway Basin outline Geothermal wells Park or reserve –
. Port Lincoln )" no petroleum exploration access )" Abandoned well
. ADELAIDE Proposed or currently drilling Suspended well
Mount Gambier )" 250 km Otway Basin Enlargement area
Figure 19 Geothermal licences
Otway Basin OT2012-A 25 CLIMATE AND LAND USE ffSeismic reprocessing to be carried out. The climate in the South East is characterised In addition to the above criteria, where bids by mild dry summers and cold wet winters, are similar, the benefits of the introduction of consequently exploration activities are generally new explorers into the area may be taken into conducted in the summer and autumn months account. In the case of cascading bids (i.e. of December through to April. However, with multiple or hybrid bids by one applicant or joint advanced preparation of sites it is possible to venture), only the highest bid will be considered. conduct activities year round. The main land The closing date for OT2012-A applications is use in the area is for mixed farming ranging 4.00 pm, Thursday 4th April 2013. from sheep and cattle grazing to crops and wine grapes. Most land is freehold, and as such The Minister is expected to announce the native title is not an issue in the area (although winning bidder, together with details of work Aboriginal heritage issues may need to be programs, by late May 2013. considered). The South East is characterised by a near-surface unconfined aquifer which is CONTACT INFORMATION the main water supply for the landholders, and Comments, inquiries and applications for this requires consideration while conducting exploration licences may be addressed to: exploration activities. Executive Director, Energy Resources Division BIDDING AND AWARD PROCESS Department for Manufacturing, Innovation, Trade, Resources and Energy Winning bidders will be selected on the basis of Level 7, 101 Grenfell Street the total five-year work program bid. The work Adelaide SA 5000 AUSTRALIA program must be completed within the overall area of the PEL. It must include a statement of Phone National (08) 8463 3204 exploration operations the applicant proposes to Fax National (08) 8463 3229 carry out in the first five-year licence term. It is Phone International +61 8 8463 3204 expected that at least one petroleum exploration Fax International +61 8463 3229 well would be included in the program. Web www.petroleum.dmitre.sa.gov.au Bids will be assessed using the philosophies expressed in ‘Selecting the winning bid’. For a The envelope containing your application must review of how this process has been applied be marked ‘Confidential — contains PEL see ‘Shaping the Cooper Basin 21st century application’. renaissance’. The specific scoring scheme is detailed in ‘OT2012 Bid Assessment Policy’ REFERENCES included on this DVD. BOULT, P.J., 2005. Morum Sub-basin petroleum system. South Australia. Department of Primary Industries In general, it is important to note that the and Resources. Narrated PowerPoint presentation timing of well drilling and seismic or other (unpublished). data acquisition will be taken into account. Key BOULT, P.J., CAMAC, B.A. and DAVIDS, A.W., 2002. 3D assessment criteria include: fault modelling and assessment of top seal structural ffThe number and timing of exploration wells to permeability — Penola Trough, onshore Otway Basin. APPEA Journal, 42(1):151-166. be drilled in the PEL. BOULT, P.J. and HIBBURT, J.E. (Eds), 2002. The petroleum ffThe number of years the applicant is prepared geology of South Australia. Volume 1: Otway Basin. 2nd to guarantee the program. edn. South Australia. Department of Primary Industries and ffThe extent to which proposed wells are Resources. Petroleum Geology of South Australia Series. supported by existing or new programmed EDWARDS, D.S., STRUCKMEYER, H.I.M., BRADSHAW, M.T. seismic data. and SKINNER, J.E., 1999. Geochemical characteristics of ffThe amount and nature of seismic surveying Australia’s southern margin petroleum systems. APPEA Journal, 39(1):297-321. (i.e. 2D versus 3D) to be carried out and its timing. JONES, R.M., BOULT, P.J., HILLIS, R.R., MILDRREN, S.D. and KALDI, J., 2000. Integrated hydrocarbon seal evaluation ffOther data acquisition (e.g. gravity, in the Penola Trough, Otway Basin. APPEA Journal, aeromagnetic or geochemical surveys). 40(1):194-211.
Otway Basin OT2012-A 26 JORAND, C., KRASSAY, A. and HALL, L., 2010. Otway Basin Hot Sedimentary Aquifers and SEEBASE Project. South Australia. Department of Primary Industries and Resources. Report Book, 2010/00010. LOVIBOND, R., SUTTHILL, R.J. and SKINNER, J.E., 1995. The hydrocarbon potential of the Penola Trough, Otway Basin. APPEA Journal, 35(1):358-371. LYON P.J., BOULT P.J., HILLIS R.R. and BIERBRAUER K., 2007. Basement controls on fault development in the Penola Trough, Otway Basin, and implications for fault- bounded hydrocarbon traps. Australian Journal of Earth Sciences, 54:675-689. MCCLAY, K.R., LONGLEY, I.M., FITZPATRICK, J.P., KING, S.J. and SOMERVILLE, R.M., 2001. Analogue modelling of extensional fault architecture: comparisons with natural rift fault systems. In: Hill, K.C. and Bernecker, T. (Eds). Eastern Australasian Basins Symposium, A refocussed energy perspective for the future, Melbourne, 2001. Petroleum Exploration Society of Australia. Special Publication, pp. 573-584. MORTON, J.G.G., 1990. Revisions to stratigraphic nomenclature of the Otway Basin, South Australia. South Australia. Geological Survey. Quarterly Geological Notes, 116:2-19. NORVICK, M.S. and SMITH, M.A., 2001. Mapping the plate tectonic reconstruction of southern and southeastern Australia and implications for petroleum systems. APPEA Journal, 41(1):15-35. PALMOWSKI, D, HILL, K.C and HOFFMAN, N., 2004. Structural-stratigraphic styles and evolution of the offshore Otway Basin – a structural seismic analysis. In: Boult, P.J., Johns, D.R. and Lang, S.C. (Eds), PESA’s Eastern Australasian Basin Symposium II, Adelaide 2004. Petroleum Exploration Society of Australia. Special Publication, pp. 75-96. TEASDALE, J., PRYER, L., STUART-SMITH, P., ROMINE, K., LOUTIT, T., ETHERIDGE, M., SHI, Z., FOSS, C., VIZY, J., HENLEY, P. and KYAN, D., 2001. Otway and Sorell basins SEEBASE Project. SRK Consulting report, SRK Project Code: GA701. South Australia. Department of Primary Industries and Resources. Open file Envelope, 9889 (unpublished).
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