I KNOW THIS IS A MONTH OLD BUT I THOUGHT IT MAY KEEP THE POSATIVE THOUGHTS GOIN, THANKS
A BILLION-DOLLAR oilfield has been discovered in the state's Far North, the find touted as one of the biggest of its kind on the Australian mainland.
Closely following the announcement by BHP Billiton of a massive copper and gold resource at Olympic Dam, Queensland-based Innamincka Petroleum said yesterday it had discovered 120 million barrels of oil in the Cooper Basin.
The discovery opens a new frontier in the resources boom in the SA desert and opens the way for yet more exploration and development.
The $1 billion price tag is a conservative figure.
At yesterday's oil price of $US81.64 per barrel, the field would be worth more than $10 billion, although oil fields typically give up only about a third of their contained oil.
Depending on the recoverable amount, the find could be on the scale of Santos's remaining Cooper Basin oil reserves, which stood at 39 million barrels of oil in the company's 2006 annual report. But even a 10 per cent recovery of the oil would be worth more than $1 billion at current prices.
The State Government stands to receive a windfall, with petroleum royalties set at 10 per cent of the sales value, after various development costs are removed.
Premier Mike Rann yesterday welcomed the find.
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