Vintage Energy and Otway Energy have 50% stake in the Otway Basin JV
Australia-based Vintage Energy has announced that its joint venture (JV) partner Otway Energy has spudded the Nangwarry-1 well in the onshore Otway Basin in Australia.
Vintage Energy and Otway Energy have a 50% stake in the Otway Basin JV.
According to the company, the planned total depth (TD) of the well is 4,350m, and it anticipates that the drilling and logging operations will be completed in nearly 45 days.
The well will also be tested for gas flow after the successful completion of the drilling programme.
Vintage Energy said that the well was spudded using an Easternwell Rig 106, which is a fully automated 1,500hp drilling rig that is designed to drill depths of 5,000m.
Otway Basin JV had received South Australian Government PACE gas grant of $4.95m
The JV secured a South Australian Government PACE gas grant of $4.95m, which will partially fund the drilling of Nangwarry-1.
Vintage Energy managing director Neil Gibbins said: “The Penola Trough in the onshore Otway Basin has recently been reinvigorated with the drilling of Haselgrove-4 and the more recent Dombey-1 DW1.
“Nangwarry-1 is part of an extremely busy schedule of activity ahead for Vintage. Should the well be successful, it would extend the proven Pretty Hill Sandstone play province, as well as the new Sawpit Sandstone, play province.
“Commercial gas, should it be discovered from the Nangwarry prospect, has the potential to supply much needed gas to local industry in the South East of South Australia, as well as the South Australian market more generally.”
The Nangwarry prospect has a best estimate gross prospective resource of 57bcf and net prospective resource of 28.5bcf, Vintage Energy said.
Nearby infrastructure for the Nangwarry includes the Katnook gas processing plant located 10km to the north-west of the prospect.
In November, Vintage Energy led joint venture had executed a term sheet with a 90 day exclusivity period to negotiate a binding farm-in agreement covering the PRL 211 permit in Queensland’s onshore Cooper-Eromanga basins.
Located adjacent to ATP 2021, PRL 211 is a 98.49 km2 retention licence with an initial five-year term expiring in October 2022.