ATP 855P is located in the Cooper-Eromanga Basin on the eastern side of the Queensland and South Australian border. PEL218 lies adjacent to ATP 855P on the western side of the border and both permits share part of the Nappamerri Trough. The Moomba to Ballera Gas Pipeline traverses the block and the area is surrounded by existing oil and gas production units. ATP 855P occupies a total area of 1,674km².
- Hervey-1 to spud in early May
- Keppel-1 to spud in June
Icon Energy - 40%
Beach Energy – 40%# (Operator)
Deka Resource* – 10%
Well Traced* – 10%
* Both Deka and Well Traced are wholly owned subsidiaries of Adelaide Energy. whichis a subsidiary of Beach Energy.
# Beach interest is subject to the completion of the conditions set down in the Farm-in Agreement.
Icon Energy welcomed the announcement on Monday 25 February 2013 by Beach Energy Ltd in relation to the farm-out of part of Beach Energy’s equity in the PEL 218 and ATP 855 permits to Chevron Australia.
Under the farm-out Beach will assign 60% of its interest in PEL 218 and ATP 855 to Chevron Australia. Icon Energy will retain its 40% interest in ATP 855. Icon Energy has consented to and waived its pre-emptive rights in relation to each stage of the farm-out transaction. In addition to this, Icon Energy has been granted a Put Option by Beach, exercisable by Icon Energy up to 30 June 2013, where Icon Energy can require Beach to acquire a 4.9% interest in ATP 855 from Icon Energy on payment by Beach of US$18 million.
Conventional and unconventional oil and gas.
The accelerated exploration program in ATP 855 includes the drilling of 7 wells, hydraulic stimulation and flow testing of a number of these wells over the next 20 months and this activity will more than meet the tenement work commitment.
All these activities further de-risk unconventional shale gas exploration in ATP 855 and across the Cooper Basin.
- Halifax-1 is the first well drilled as an exploration well in the 400,000 acre ATP 855 tenement and the gas flowing from Halifax-1 represents proof of concept for a continuation of the deep tight basin centered gas play in the Queensland side of the Nappamerri Trough and the Joint Venture is now focussed on the accelerated drilling program.
- Currently the gas flow rate is 1.5 MMscf/d and the well is flowing back 180 barrels per day of stimulation fluid which is declining. The choke is currently fully opened.
- The Hervey-1 well is located on the southern edge of ATP 855 and is located to extend proof of the deep tight basin centered gas play.
- The well location pad is currently being prepared for the commencement of drilling.
- The vertical well will be drilled to an approximate total depth of 4,266 metres using the Ensign 916 rig.
- The well is expected to commence drilling in early May 2013.
- Keppel-1 is located to the north of the tenement and is located to extend proof of the deep tight basin centered gas play. Keppel-1 is expected to be drilled concurrently with Hervey-1.
- The vertical well will be located in the deepest section of the trough and will have an approximate total depth of 4,890 metres.
- The well is planned to be drilled using the Ensign 965 rig once it has been released from operations in PEL 218 (Beach 100%).
For the latest information on Icon Energy’s exploration activities see below, or go to Announcements at www.iconenergy.com/news/company-announcements
- Icon Energy Quarterly Report Ending 31 March 2013 - 30 April 2013
- Unconventional Shale Gas Exploration Update - 17 April 2013
- Halifax-1 Gas Flow Increases to 3.9 MMSCFD - 6 March 2013
- Icon Energy Welcomes Chevron Australia as a JV Partner in ATP 855 - 25 February 2013