Bengal will integrate subsurface data from the petroleum leases to enhance the understanding of ATP 934 and select the locations for exploration and appraisal drilling locations
Bengal Energy, a junior oil and gas exploration and production company, has announced the execution of a binding sale and purchase agreement to acquire a 100% working interest in four Petroleum Leases (PLs) and a natural gas pipeline.
Bengal said that the new PLs cover a total area of 267km2 and are located close to its 100% owned and operated natural gas prospective permit Authority to Prospect 934 (ATP 934), which covers 1,462 km2 area in the Cooper Basin gas fairway.
This acquisition is in line with Bengal’s strategy to maximise its ownership and operatorship of its permits in the Cooper Basin of Australia.
Bengal president and CEO Chayan Chakrabarty said: “These Assets include previously producing natural gas wells that are currently shut-in and a productive oil discovery which we believe to be commercial. The PLs are surrounded by producing gas fields, active gas appraisal and development drilling campaigns, and readily accessible gas infrastructure.
“The 100% ownership of these Assets presents an exciting lower-risk appraisal opportunity that will be operated by the Company. We see this opportunity to be not only complementary to our proven producing, non-operated Cuisinier asset, but also as a key stepping stone for Bengal’s natural gas platform upon which future exploration growth through ATP 934 can be undertaken.”
Bengal identified six individual drilling prospects on ATP 934 permit
Bengal has identified six individual drilling prospects on the ATP 934 permit, of which some are directly offsetting the cased wells located on the PLs.
The company is expected to integrate subsurface data from the PLs to enhance the understanding of ATP 934 and select the locations for exploration and appraisal drilling.
Integrating subsurface data from the PLs is expected to take place following the satisfaction of certain conditions, including receipt of required regulatory approvals, which is expected to be complete by the end of calendar fourth quarter of 2019.
Currently, Bengal is examining funding alternatives to evaluate the new PLs by the end of 2019 and to drill up to three wells in 2020 to assess the resource potential of ATP 934.