Armour-APLNG JV Gets Queensland Acreage
Queensland government has awarded exploration acreage, PL2018-1B, to a joint venture comprising Armour Energy and Australia Pacific LNG (APLNG), Armour said June 3.
PL2018‐1B is an 18km2 coalbed methane (CBM) exploration tenure located 22km south‐west of Chinchilla and adjoins APLNG’s Talinga project. The block was part of the first national tender where gas has been designated to be supplied locally.
Under the joint venture, Armour will have access to APLNG’s geological/sub‐surface knowledge of the tender area which will help to expedite development and deliver gas from the exploration block. Gas production will have direct access to the domestic gas market through APLNG’s existing gas processing and water management facilities and infrastructure located immediately adjacent in the Talinga field.
APLNG is a joint venture between Origin, Conoco Philips and Sinopec. It is a large supplier of gas to the east coast domestic market, providing approximately 30% of the total volume of gas sold into the domestic market in 2018, according to Armour.
“The Queensland government continues to take positive steps to increase the supply of gas to the east coast gas market by facilitating the release of additional highly prospective acreage,” Armour CEO, Roger Cressey, stated.
“This is a great opportunity for Armour, and the company is pleased that the award of this block to the Joint Venture will contribute to the provision of more gas for energy and feedstock to Australian east coast manufacturing businesses. Armour is confident that this block will provide resources that will benefit the company and gas supplies to the domestic market for the longer term,” he added.
First gas from the block is expected by mid‐2021 and will be supplied to local manufacturers, Armour said.