Millions of Dollars Being Spent on Oil and Gas Exploration

Petroleum companies will invest almost $220 million in oil and gas exploration following the grant of new exploration permits in waters off Western Australia and Tasmania. This maintains the Australian Government’s ongoing program of releasing offshore acreage for petroleum exploration.

Eight of the permits are located in the commercially proven Carnarvon Basin, which hosts world-class reserves of natural gas, as well as significant volumes of oil. The new permits are close to previous discoveries and existing infrastructure which suggests there’s a good chance of new discoveries.

The remaining three permits are adjacent to the Yolla gas field in the Bass Basin off northern Tasmania, close to the major gas markets of south-eastern Australia.
Maps and full descriptions of the areas can be found at www.industry.gov.au/petexp

Under the work program bidding system for the award of exploration permits in Australia’s offshore areas, applicants are required to nominate a guaranteed minimum 'dry hole' exploration program for each of the first three years of the permit term and a 'secondary' program for the remaining three years. Each component of the program must be completed in the designated year or earlier. Permits are granted for an initial term of six years.

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David
editor@agarcarlyon.com