qgc anouncment 1

QUEENSLAND GAS COMPANY LIMITED
ABN 11 089 642 553
Level 11
307 Queen Street, Brisbane QLD 4000
GPO Box 3107, Brisbane QLD 4001
Tel: 07 3004 1000 Fax: 07 3012 8411
Website: www.qgc.com.au
Email: [email protected]
QUEENSLAND GAS COMPANY
19 September 2006
ASX ANNOUNCEMENT
New drilling campaign targets increased gas reserves
Queensland Gas Company Limited (QGC), in conjunction with its joint venturers, Origin
Energy CSG Limited (Origin), Sentient Gas Australia Pty Limited (Sentient) and Lucas
Coal Seam Gas Pty Ltd (Lucas), will drill at least 11 new wells, 2 new core wells, 6
reservoir monitoring wells and workover and complete 3 previously drilled wells in
coming months as it commences the next phase of testing and reserves certification
work at its tenures in the eastern Surat Basin.
QGC, as the operator of the joint venture with Origin and Sentient, will drill 5 new
appraisal wells (Bellevue #3 - #7) in ATP 610P which is approximately 15km north of
the Berwyndale South Gasfield. The joint venture will also re-enter, cleanout and
complete an existing well (Bellevue #2) and drill 2 monitoring wells (Bellevue #M1 -
#M2) in a testing program designed to increase the gas reserves attributable to the
prospect.
QGC, as the operator of the joint venture with Sentient, will drill 5 new appraisal wells
(Berwyndale #3 - #7) in ATP 632P (PLA 211) which is approximately 8km north of the
Berwyndale South Gasfield. The joint venture will also re-enter and core the lower
Juandah Coal Measures and the Taroom Coal Measures in an existing well
(Berwyndale #2R) and drill 4 monitoring wells (Berwyndale #M1 - #M4) in a testing
program designed to increase the gas reserves attributable to the prospect.
QGC, as the operator of the joint venture with Origin and Sentient, will drill a new
appraisal well (Kenya East #2) in ATP 648P which is approximately 15km southeast of
the Argyle Gasfield. The joint venture will also re-enter and convert an existing core
well (Kenya East #1) to a production well in a testing program designed to increase the
gas reserves attributable to the prospect.
QGC will drill a new core well (Ridgewood #2) in ATP 621P which is approximately
50km southeast of the Argyle Gasfield. Success at the Ridgewood #2 site will open up
a new prospect for additional pilot testing and contribute to the certification of gas
reserves in this ATP.
QGC, as the operator of the joint venture with Lucas, will re-enter, cleanout and
complete an existing well (Woleebee Creek #2) in ATP 651P which is approximately
90km northwest of the Berwyndale South Gasfield, in a testing program designed to
certify gas reserves in the prospect.
The results from the new drilling and testing program are expected to accelerate the
commercialisation of QGC’s interests on the Undulla Nose and increase 2P reserves to
a least 1000 PJ. The program will also evaluate the coal seam potential of QGC’s
interests beyond the Undulla Nose and certify reserves at these prospects.