And more attention today placed on AWE and NWE,s Shale Gas plans...

And more attention today placed on AWE and NWE,s Shale Gas plans in WA no wonder things are steaming along nicely for us ATM big week ahead for NWE :)$$$

Petroleum News

Monday, 29 March 2010

THE Western Australia government is keeping a close eye on shale gas developments in the state in the hope that these could prove an attractive addition to its gas supply.

Mines and Petroleum Minister Norman Moore said plans by AWE to drill the Woodada Deep-1 coring well in the onshore Perth Basin next month could help create a new industry and provide greater certainty for existing businesses in WA.

The drilling has potential to spark a new industry which may significantly increase WAs economic growth and enhance its reputation as an international resources hub.

Previously considered unviable, shale gas exploration and production is now more prospective due to improved horizontal drilling and fracturing techniques.

AWE had previously flagged the shales in the Perth Basin appeared to be comparable with successful shale gas fields in North America.

With the US fields expected to increase future US gas supplies by a further 100 years, Moore said the WA fields, if commercial, could supply the states domestic gas market with a new source of cheap, conveniently situated reserves.

This may be another arrow in WAs alternative energy sources along with the already available options such as tight gas and geothermal sources, Moore added.

AWEs Woodada Deep coring program is testing the shale gas potential of the Woodada licence which adjoins the southern boundary of Norwests EP413 permit where shales are up to 1000m thick.

Other players are also keen to jump on the shale gas bandwagon with fellow Perth Basin explorer Norwest Energy keeping a close eye on AWEs operations, New Standard Energy about to accelerate work in the Canning Basin, Beach Energy poised to evaluate the potential of its shales in the Cooper Basin and Exoma talking up the Toolebuc shale in Queenslands Galilee Basin.

Happy Days

GB:)$$$$