ConocoPhillips Australia has embarked on a new phase of offshore exploration offshore exploration with the drilling of the Essington-1 well in the Otway Basin. This action is part of a program that seeks to respond to the growing domestic demand for natural gas and anticipate a possible shortage expected in the next few years in the state of Victoria.
Otway Gas Drilling Details
The Essington-1 well is located about 50 kilometers southwest of Port Campbell within the VIC/P79 permit, an area adjacent to existing production infrastructure. The operation is part of a campaign that calls for at least two wells to be drilled during 2025, with the possibility of extending the number if operating conditions permit.
According to Jan-Arne Johansen, president of the Australian subsidiary, the initiative seeks to secure supply for residential and commercial use, in a context of transition to a lower-emission energy system. to a lower-emission energy system..
Natural gas remains crucial to ensuring affordable and reliable energy as we move toward carbon-neutral goals.
He stated.
Operational planning and participation of key companies
The drilling of Essington-1 drilling is expected to continue until the end of November, while the second well, Charlemont-1, could start in December depending on weather and logistics. Both works are contemplated in an Environmental Plan approved in February, which imposes strict marine protection and responsible operation measures.
The program is being operated by ConocoPhillips (51%), in partnership with Korea National Oil Corporation (29%) and 3D Energi Limited (20%). Transocean is participating with its rig to execute the drilling.
Strategic importance of the Otway Basin
The Otway Basin has become a strategic location for Australia in its effort to avoid shortages on the east coast, where mature Bass Strait fields are showing signs of decline. This initiative could make a significant contribution to reducing pressure on imports and maintaining competitive prices for domestic gas.
Likewise, the federal government maintains regulatory mechanisms to guarantee a balance between exports and domestic interests, such as the domestic gas security mechanism that allows limiting foreign sales in case of shortages.
Source and photo: ConocoPhillips
