Press

Senex Energy: Transfer of Lattice Energy Unconventional Gas Free-Carry to Western Flank Oil Assets


Senex Energy Limited (Senex, ASX: SXY) today announced that it and Beach Energy Limited (ASX:BPT) had reached agreement to transfer up to $43 million free-carry commitment on the jointventure's unconventional gas project to the Senex operated Cooper Basin western flank oil assets.

Key points:

  • Beach Energy's recent acquisition of Lattice Energy included the commitment to free-carry Senex for up to $43 million of investment, exploring for unconventional gas in the Cooper Basin

  • This agreement will transfer the commitment to lower-risk, high-return oil opportunities on western flank permits ex-PEL104 and ex-PEL111 (Senex 60% and operator, Beach 40%)

  • Material FY19 western flank free-carried oil work program targeting reserve and production adds

  • The Lattice Energy earned interest in the unconventional gas acreage will revert to Senex in full

Commenting on the agreement, Managing Director and CEO Ian Davies said the agreement was an excellent outcome for both Senex and Beach.

“This is a win-win transaction for Senex and Beach, enabling us to focus on our highest ranking joint opportunities in the Cooper Basin western flank oil assets. The significant untapped potential in this prolific oil region is evidenced by the success we have already achieved this year on the Marauder and Growler fields. Senex and Beach are aligned in our objectives to increase reserves and production from the acreage.

“The agreement also supports the results of Senex's recent asset portfolio review, and our commitment tofocus on our suite of core assets. This agreement provides for material growth capital for our Cooper Basin western flank oil assets, and allows Senex to concentrate on delivering on the potential of our Queenslandgas assets,” Mr Davies said.

The joint venture will commence an agreed work program in early FY19 that includes at least three horizontal development wells and seven exploration wells, and associated infrastructure, over approximately 18 months.

Senex continues to see significant gas prospectivity in its Cooper Basin unconventional gas acreage given the opportunities that exist for new long-term supply in the east coast gas market. Following completion of this agreement, Senex will hold 100% of the Unconventional Gas South acreage and up to 87.5% of the Unconventional Gas North acreage (dependent on the exercise of Planet Gas pre-emptive rights). This position will give Senex maximum flexibility to progress the longer-dated unconventional gas opportunity in the future.

Figure 1: Senex Cooper Basin western flank and unconventional gas permits

page2image3914008384


Visit source site

https://preview.tinyurl.com/y8csq4vm

ASXSenex EnergyLattice EnergygasOilBeach EnergyCooper BasinAustralia

More items from oilvoice


Over $9.9bn in Capex Will be Spent by Qatar-Focused Operators on Gas Projects to 2021, Says GlobalData

Over $9.9bn in capital expenditure (capex) will be spent by Qatar-focused operators on gas projects between 2018 and 2021 to ensure that country's production will remain around 18.1 billion cubic feet per day (bcfd) in 2021, according to GlobalData , a leading data and analytics company. Qatar ...

OilVoice Press - OilVoice


Posted 5 hours agoOpinion > QATARgasGlobalData +3

Uganda Government selects Consortium comprising YAATRA, BHGE, LionWorks, and Saipem to develop, finance, construct and operate a greenfield Oil Refinery in Hoima District, Uganda

When executed, this will help develop the industry infrastructure and provide livelihood for the Ugandan people and, by extension, other East African countries KAMPALA, Uganda, April 25, 2018/ -- Following the favourable evaluation of its private sector-led offer by the Uganda Governme ...

OilVoice Press - OilVoice


Posted 5 hours agoPress > UgandagovernmentYAATRA +11

Federal Financial Interventions and Subsidies in U.S. Energy Markets Declined Since 2013

Source: U.S. Energy Information Administration, Direct Federal Financial Interventions and Subsidies in Energy in Fiscal Year 2016 EIA has updated its report on federal financial interventions and subsidies in energy markets , covering the 2016 U.S. government fiscal year (FY). Subsidies ...

OilVoice Press - OilVoice


Posted 5 hours agoOpinion > USUnited StatesEnergy +4

Subsea 7 Re-Affirms its Proposal to Acquire McDermott

Subsea 7 S.A. today announced a re-affirmation of its interest in acquiring McDermott International, Inc. (“McDermott,” NYSE: MDR). Subsea 7's proposal is subject to the termination of McDermott's pending transaction with CB&I (NYSE: CBI).  Subsea 7 is open to considering amending its proposal if ...

OilVoice Press - OilVoice


Posted 5 hours agoPress > NYSESubsea 7McDermott +2

Hess Reports Estimated Results for the First Quarter of 2018

Key Highlights: Increased our share repurchase program by $1.0 billion to a total of $1.5 billion, which is expected to be completed by year-end; repurchased approximately 8 million common shares for $380 million in the first quarter, completing the initial $500 million program Commenced ...

OilVoice Press - OilVoice


Posted 8 hours agoPress > Hess CorporationResultsQ1 +4
All posts from oilvoice