WestSide's Meridian Gas Field’s Expansion on Track

WestSide Corporation has announced Wednesday that plans for further expansion of the Meridian gas field’s production capacity are on track following execution of the company’s transformational Gas Sale Agreement with GLNG.

Drilling commenced this week on the first well in the Phase 1 development program and that this well would be commissioned in July.

“Significantly, this will be the first new production well to have been drilled in the Meridian field for more than 18 months,” Managing Director Mike Hughes.  

Drilling for this Phase 1 program, involving six new production wells, is scheduled to be completed in August.

Planning is also underway for the next phase of drilling and work has commenced on options for compression expansion in the field.

WestSide operates the Meridian gas field in Queensland’s Bowen Basin and holds a 51% joint venture interest with Mitsui E&P Australia Pty Ltd holding the remaining 49%.

The Meridian gas field comprises a range of assets including a petroleum lease, gas rights in mining leases and gas compression and pipeline infrastructure connected to Queensland’s commercial gas network. The field currently supplies approximately 12 Terajoules of gas per day (TJ/day).

In March 2014 the Meridian joint venture executed a binding 20-year gas sales agreement to supply up to 65 TJ/day of gas to GLNG from 2015 at prices based on an oil-linked formula from 2016.