Some more news as published on the ABC rural new web site, a video accompanies the news article. Looks like we are about to follow Statoil with fracking, this could provide the key to unlock the gas that will be used to bank to Gladstone short falls.
Fracking in the Souh West Queensland
Fracking in south west Queensland could help address gas shortfall
A central Australian exploration company says its exploration program in the Southern Georgina Basin is assessing the potential to frack for shale gas.
Central Petroleum has spudded the first of three wells in Queensland's south west, and is awaiting approval to explore at a fourth site on the Northern Territory side of the border.
Managing director Richard Cottee says the drilling will occur up to three kilometres below the surface.
"It will just be a straight horizontal drilling and we'll be coring and taking out the cores, putting them into a barrel to see how much gas escapes over time in a laboratory to work out gas oil," he said.
"In these wells we'll be testing, subject to receiving all the requested approvals, whether those shales are able to be fracked, in a scientific sense.
"If everything is successful, unconventional shale gas does require fracking."
Addressing a gas shortfall
The five year exploration program is a joint venture project with French gas giant Total, with the $202 million dollar
farm out deal covering four exploration permits over 25,000 square kilometres in the Northern Territory and Queensland.
Mr Cottee says the projects ability to attract investment from such a large company demonstrates the promising potential of the sites.
He says the venture could find enough gas to help address a shortfall on Australia's eastern seaboard into 2020.
"And obviously, if it were to come to fruition, we would start to see gas pipelines eat their way towards the Northern Territory border,.
"Provided there's nothing to upset the market, the pricing signals are such, and the exploration potential as such, that it will occur I believe."
Mr Cottee says the drilling is occurring on land owned by pastoral company NAPCO.
"We've reached a commercial agreement with NAPCO, and we're on their land and carrying out our activities under contractual rights with NAPCO."
NAPCO has been contacted for comment.
