VIICTORIANCTORIAN SUUPPLEMPPLEMEENTNT 22005005 Victoria’s petroleum boom continues VICTORIAN SUPPLEMENT 2005 for discoveries, its reputation as a hub for a non-prospective ‘economic basement’, gas plants and industries, and its connection until now. with New South Wales’, South Australian and Tasmanian gas markets. These recent oil and gas discoveries are good news for the petroleum industry and Victoria’s gas supply security has changed indicate that we are still uncovering Victoria’s drastically during the last five years. Prior to potential. The Victorian Government is then, the State relied mostly on supplies from stimulating exploration by providing world- TATEMENT Esso’s gas-processing plants at Longford class geophysical and geological exploration (near Sale) and Santos’ Heytesbury plant data through the Victorian Initiative for S S (near Port Campbell). There are currently five Minerals and Petroleum. Geoscientists within ’ operating plants (by adding Santos’ Patricia the Department of Primary Industries are Baleen plant at Orbost, Origin’s BassGas plant also preparing prospectivity packages for at Lang Lang and BHP Billiton’s Minerva plant interested bidders for the 2006 release. near Port Campbell) and by mid 2006 a sixth plant (Woodside’s Otway Gas plant at Iona) New gas discoveries lead to increased INISTER will be operational. energy security and diversity of supply. ictoria is experiencing an exciting This will help Victoria to maintain its period in its petroleum exploration The recent high demands for acreage has highly competitive position in the primary V and development history. Petroleum led to almost all-existing prospective areas production and manufacturing sectors. Our • M exploration spending reached record levels, being under permits and no areas are regional communities have directly benefited with almost $350 million spent in the last available for release in 2005. This shortage from these exploration and development two years. This is expected to continue as in acreage availability, however, will change activities. With large ready markets developed exploration drilling hits a 20-year high. Forty- soon. A significant number of vacant areas and reliable connections to three interstate eight wells are proposed for drilling over the is scheduled to become available for gas markets, Victoria is the place to be for next three years. Twelve exploration wells exploration in 2006 and 2007. the petroleum industry. have been drilled since July 2004, and at least 17 more exploration and appraisal wells Some significant and exiting discoveries have The Victorian Government recognises the TATEMENT are scheduled for drilling in 2004/05. This been made, particularly in the Gippsland importance of the oil and gas industry, S level of drilling has not been seen since the Basin. Offshore, Apache has announced its and extends its thanks to the companies S Gippsland Basin’s heydays in the 1980s. evaluation of the Longtom-2 gas discovery. that contributed to Victoria’s PESA News ’ Bass Strait Oil discovered gas from drilling supplement. I hope that current explorers National and international petroleum Moby-1 and Esso/BHP Billiton discovered and potential future companies will find it companies have endorsed Victoria as a prime oil and gas from drilling West Whiptail-1. a helpful reference at the APPEA Conference location for exploration and investment. The Onshore, Lakes Oil recently announced that and in the ensuing months. committed downstream projects investment it has recovered oil from the Strzelecki Group INISTER exceeds $4 billion - a record for the State. from drilling Wombat-3. While it is still too early to assess the full potential of this find, Hon Theo Theophanous M Victoria is a prime location for petroleum it is the first time oil has been extracted Minister for Energy Industries exploration for several reasons - its potential from this interval which has been considered and Resources Minerals And Petroleum Division - The Casino Timeline: An Example Victorian Department Of Primary Industries 1 Of Fast Track Exploration, Appraisal And Development, Off shore Otway, Victoria 11 Otway Basin Acreage Flagged For 2006 2 By Santos Limited By Maher Megallaa Essential Petroleum Resources Limited Basin Studies Update 4 Is Unlocking The Potential ONTENTS By Hywel Thomas Of The Otway Basin 13 By Essential Petroleum Resources Limited Forthcoming Relinquishments In The Onshore • C Otway Basin May Yield New Gazettal Blocks 5 Petroleum Resources And Operations Dr Tom Bernecker & Jim Driscoll During 2003/2004 15 By Dr Kourosh Mehin Extracting Maximum Value From The Maturing Gippsland Basin Oil & Gas Fields 7 Minerals And Petroleum’s Online Web By Philip J. Burnett & Dr Klaus W. Mueller Mapping Application - GeoVic 16 ONTENTS By Maher Megallaa and Rob Lane Apache Comes To The Gippsland Basin 8 By Stephen Keenihan Petroleum Information Group Update 17 By Bob Harms • C Bass Strait Oil Company Ltd – Update On Activities, Off shore Gippsland Basin 9 Existing Petroleum Data On Cds & Dvd 18 By Ian Reid VIMP Petroleum Reports Listings 19 Construction Underway On The Otway Gas Project 10 Petroleum Titles 20 ONTENTS By Woodside Energy Limited C This publication was produced by RESolutions Resource & Energy Services Pty Ltd 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 Richard Kathy Phil Chris Aldous Hill Roberts Hamilton Executive Director Director Director GeoScience Minerals Minerals Victoria and Director and Branch Petroleum Business Petroleum (GSV) Regulation Development Division Branch & Technology (M & P) (MPR) Branch (BDT) Ph: +61 3 9658 4411 Ph +61 3 9658 4562 Ph +61 3 9658 4457 Ph: +61 3 9658 4401 Fax: +61 3 9658 4466 Fax: +61 3 9658 4555 Fax: +61 3 9658 4499 Fax: +61 3 9658 4499 NDUSTRIES E-mail: [email protected]. E-mail: [email protected] E-mail: [email protected]. E-mail: [email protected]. I gov.au gov.au gov.au Minerals and Petroleum (M&P) is Responsible for the delivery of Responsible for establishment The Business Development & a division of the Department of regional, geoscience information of technical aspects of licence Technology Branch facilitates Primary Industries. It is responsible essential for project generation and conditions and approvals of drilling petroleum exploration projects for the administration of minerals, servicing the exploration sectors. programs, pipelines, health, safety and research, development and RIMARY quarry and petroleum legislation Responsible for overviewing the and environment monitoring. Also implementation of technologies including transmission pipelines. petroleum acreage release & responsible for granting renewal related to minerals and petroleum. P The division is also responsible marketing, data management and and administration of licences and for promoting minerals and reservoir engineering activities. fees. OF petroleum exploration and extraction activities. The division was organised early this year and was relocated at the beginning of last July to a new headquarters at 1 Spring Street, Melbourne (the ‘old Shell House’). PETROLEUM MANAGERS The geoscience and information Hywel Thomas (GSV) advice in respect of drilling programs and tenement functions of the Geological EPARTMENT applications. Survey of Victoria and Petroleum Manager Energy GeoScience Group Development Branches have D Ph: +61 3 9658 4538 Horacio Haag merged to form GeoScience Victoria. The facilitation functions Fax: +61 3 9658 4555 Manager Petroleum Operations, Safety & become part of a new branch E-mail: [email protected] Environment (MPR) called Business Development and Ph: +61 3 9658 4415 Technology (BDT). The newly created Energy Geoscience Group, a merger of the former Basin Studies and Petroleum Fax: +61 3 9658 4499 Information groups, is responsible for data provision, E-mail: [email protected] ICTORIAN data enhancement and geotechnical support. It GEOSCIENCE VICTORIA provides geoscientifc expertise on issues related Responsible for acceptance of safety cases, (MINERALS AND PETROLEUM to petroleum, coal seam gas, geosequestration and environmental management plans, approvals of DIVISION) geothermal energy. seismic, drilling, and workover operations. Approvals - V relating to pipeline construction and operations. DEPARTMENT OF PRIMARY Maher Megallaa INDUSTRIES Manager Acreage Release (GSV) George Buckland Level 16, 1 Spring Street Manager Minerals & Petroleum Tenements Ph: +61 3 9658 4541 GPO Box 4440 (MPR) IVISION Melbourne Victoria 3001 Fax: +61 3 9658 4555 Ph: +61 3 9658 4439 Australia. E-mail: [email protected] D Phone: 13 6186 Fax: +61 3 9658 4499 E-mail: [email protected] Handles the co-ordination of acreage release processes E-mail: [email protected] Minerals and Petroleum and the marketing of gazetted acreage, including the Website: http://www.dpi.vic. preparation of promotional data. Responsible for the management of petroleum tenements, applications for and granting of new gov.au/minpet/ Bob Harms petroleum permits and licences. Order of Products Manager Petroleum Information Team (GSV) Geoff Collins ETROLEUM To order hard copy reports, Ph: +61 3 9658 4560 CD-ROMs and DVDs for reports Manager Petroleum Projects (BDT) Fax: +61 3 9658 4555 P and information packages Ph: +61 3 9658 4406 E-mail: [email protected] prepared by the division Fax: +61 3 9658 4499 geoscientists’ contact: In