Chevron secures exploration permit offshore Western Australia

Feb. 22, 2017
Chevron Corp. has secured an exploration permit in the Exmouth Plateau region of the northern Carnarvon basin close to its Gorgon field offshore Western Australia with a cash bid of $3 million (Aus.).

Chevron Corp. has secured an exploration permit in the Exmouth Plateau region of the northern Carnarvon basin close to its Gorgon field offshore Western Australia with a cash bid of $3 million (Aus.).

The WA-526-P permit, which is valid for 6 years, is described as having a natural gas-rich address.

Cash bidding for selected Australian exploration permits was first introduced in the mid-1980s, but was discontinued in the 1990s. The system was reintroduced in 2014 and focuses on mature areas known to contain petroleum accumulations where only minimal new exploration may be necessary. The Chevron cash-bid award is the first since that time.

Two companies prequalified for the auction, but only the Chevron bid was received by the federal government at the close of the auction process.

Two other cash-bid areas in the Dampier subbasin and the Exmouth subbasin offshore Western Australia received no bids and have reverted to vacant acreage.

Senator Matt Canavan, minister for resources and Northern Australia, said the award of the cash-bid permit is an important milestone and shows that Australia still remains an attractive petroleum exploration investment destination.