Oz Central Petroleum Upgrades NT Reserves

Sydney-listed Central Petroleum July 24 announced a 16% upgrade of proved and probable (2P) oil and gas reserves across its three producing fields in the Northern Territory.

The upgrade means that after accounting for FY2020 production, there is an increase of 22.5 petajoules equivalent (PJE) in aggregate 2P oil and gas reserves to 161.2 PJE as on June 30, it said.

Central said that the reserve upgrade was driven by strong field performance across the portfolio and the exceptional performance of the PV13 well since it was commissioned in May 2019. “The additional reserves provide a significant revenue opportunity for Central with east coast gas markets anticipated to strengthen in the medium term,” the company said.

Central further said that there is a confirmation of 105 petajoules of 2C contingent gas resources which could potentially be unlocked by a proposed Stairway appraisal programme at Mereenie and additional infield wells at Palm Valley.

The company CEO, Leon Devaney, said Central sees resilient prices for term gas supply from 2022, with the recent drop in sector investment likely to accelerate these supply/demand dynamics.  “Consistent with this view, we are targeting our significant 2C resources through new and smarter approaches to Stairway appraisal and in‐field laterals at Palm Valley. Combined with our exploration program, our Range Gas Project and active farmout process, Central is continuing to build momentum towards achieving our vision to become a major gas supplier into the domestic market,” added Devaney.