Amadeus Basin

Mosman owns one granted Permit and one application in the Amadeus Basin in Central Australia.

The Amadeus Basin is considered one of the most prospective onshore areas in the Northern Territory of Australia for both conventional and unconventional oil and gas, and hosts the producing Mereenie, Palm Valley and Surprise fields.

EP145 

The permit contains a significant anticline (named West Walker), of over 30km in length. The anticline itself hosts Ordovician through to Neoproterozoic stratigraphy open at various levels. The significance of the geology is its proximity to the nearby Mereenie oil and gas field, which produces from the Ordovician Pacoota Sandstone unit. 

Two wells have been drilled on the anticline, the first West Walker -1 tested the western end of the feature based on a poorly definied seismic grid in 1982, but flowed wet gas to surface at a rate of 3.5MMscf/d from the Pacoota Sandstone, the main producing reservoir in the Mereenie Field. A follow up well drilled, called Tent Hill -1 (1984), located to the southeast on the same anticline (and very poor seismic grid was deemed unsuccessful, although oil was observed weeping from cores.

SRK Consulting (Australia) finalised a report ("SRK Report") into the prospective resources contained in permit EP 145 which is on trend with the existing producing Mereenie oil and gas field.  The report highlights the potential for both conventional oil and gas resources in proven reservoirs within the West Walker Anticline and unconventional gas resources in the Horn Valley Siltstone.

SRK has calculated unrisked prospective resources within both plays which are documented below:

Resource Type                                   P50

Conventional Recoverable Gas (Bcf)                12.44

Unconventional Recoverable Gas (Bcf)             1456

Table 1: Unrisked Resources (Source: SRK Report)

In February 2022 the permit life and the minimum work requirements were again extended for 12 months which means that the gravity and seismic is required by August 2023.

In 2021 the Airborne Gravity and Gradiometry data acquisition for permit EP-145 was commpleted. The survey is a significant step in the exploration program as it is the first time data will be acquired for the whole permit.  The survey used high resolution Falcon Airborne Gravity Gradiometry System which has the abililty to image salt and subsalt geometry across a range of depths.
 
Geognostics Australia were engaged to interpret the data which is being integrated into the regional basin model.  
 
Planning for the acquisition of seismic is ongoing.
 
The Aboriginal Areas Protection Authority (APAA) sacred site clearance certificate has been received.  The Central Land Council (CLC) is currently working on their requirements for a heritage survey and also the requirement for an on-ground environmental survey.
 

The next step for Mosman is to secure the Heritage Survey and the Environmental Survey in conjunction with the CLC.  This activity was due in the last quarter 2021 but unfortunately was postponed by the CLC.  Mosman is endeavouring to secure an alternative time for the surveys to occur.

Once the surveys are completed, the next step will be to progress the technical work to further define the prospectivity of the permit. This will include the acquisition and interpretation of 2D seismic will comprise the next significant exploration activity in the current permit year (expiring August 2023), prior to identifying a drilling location and drilling an exploration well.

All seismic and drilling activities are subject to obtaining the necessary planning approvals from the NT Department of Industry and Resources, which are currently being coordinated by the project manager (ResourceGeo). In anticipation of any further delays to project approval Mosman has secured a further extension and suspension to the current permit year.

EP(A)155 Mount Winter

Located in the Northern Amadeus Basin between the producing Surprise Oil Field and Mereenie Oil and Gas Field has significant prospectivity for helium, natural hydrogen and hydrocarbons.

EP(A)155 lies within the highly prospective Horn Valley Siltstone fairway with proven hydrocarbon potential as demonstrated by historical wells, Mt Winter-1 & 1A. Exploration data comprises a sparse 2D seismic grid and 2 wells.

Mt Winter-1 was drilled to a depth of 2650m reaching TD in the Proterozoic Gillen Fm, above the helium and hydrogen prospective targets. Hydrocarbons were encountered in 2 intervals, the Ordovician Stairway Sandstone (reservoir at Surprise Field) and Proterozoic Jonny’s Creek Beds (reservoir at Ooaramina discovery, northeastern Amadeus Basin). The well was drilled off structure due to the limited seismic data available, and re-interpretation of the available data suggests valid targets at multiple depths down to and including basement.

EP(A)155 is an exploration permit application, subject to successful land access negotiation with Traditional Owners prior to grant of the permit.

Mosman entered into a farmout agreement with Westmarket Oil and Gas Pty., a wholly owned subsidiary of unlisted public company Georgina Energy Plc in 2020, who will be responsible for Native Title Negotiations as required for grant of the permit. Westmarket will also undertake the initial technical work program which includes acquisition of seismic data to earn a 75% working interest and operatorship of the permit. On drilling an exploration well Westmarket has the option to earn a further 15% working interest by electing to carry Mosman through the cost of the well.

Gas Pipeline

The Northern Gas Pipeline connects gasfields in the Northern Territory with gas markets in eastern Australia.  The pipeline runs between Tennant Creek in the Northern Territory and Mount Isa in northwest Queensland. The pipeline commenced operations in January 2019 and access is available to all shippers on commercial terms designed to incentivise the future development of Northern Territory gas resources.

The potential Amadeus to Moomba Pipeline shows further indication of increasing resources and development of the Amadeus Basin. This pipeline could provide access to the gas markets of South Australia, Victoria and NSW. The pipeline may also facilitate helium export from the Amadeus Basin.  CLICK HERE for further information.