Sydney-based Uranium Oil & Gas said it had applied for four oil shale exploration permits in the McArthur basin in Australia’s Northern Territory.
Uranium said it had applied for permits EP 113, EP 114, EP 150 and EP 151, in the Arnhem Land region of the Northern Territory. The company said it would target ancient Proterozoic sediments on the lands, which it believed could contain up to 5 billion barrels of oil equivalent.
Of this the company said it believed between 80 million and 100 million barrels of oil, or 540 billion cubic feet of gas, was recoverable.
Uranium said exploration of the area was still in the very early stages, but it had already identified 32 target areas for investigation. The proposed exploration would target the Velkerri, Barney Creek, Yalco and Caranbirini formations on the areas, it said.
Proterozoic sediments are far older than those usually tapped for oil and gas production and the deposits are believed to have been formed from the remains of ancient algae blooms in early oceans.
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