Senex Energy Ltd., Brisbane, achieved first gas sales from the Project Atlas development in southeast Queensland into the Australian east coast market with gas being sold to Queensland Government-owned power generator CleanCo.
Sales follows the start-up of the first two trains of the five-train, 15 petajoules/year Atlas processing facility.
The gas is being supplied via the 60 km Project Atlas pipeline that connects to the Wallumbilla gas hub.
First production has come just 18 months after the grant of the petroleum lease.
So far Senex has drilled 23 coal seam gas wells in the initial 60-well Atlas campaign. Fifteen of those 23 wells make up the first production flow of above 3 terajoules/day.
The company expects to complete the 60-well drilling program by mid-2020 and ramp up production to an initial plateau of 12 petajoules/year by the end of June 2021.
Contract gas sales to CSR and Orora will begin on Jan. 1, 2020.
Senex also reported its sales agreement with Orora has expanded from the original 3.3 petajoules from January 2020 with the addition of 9.9 petajoules from 2022 to 2027 making a total sales contract of 13.2 petajoules for the 8 years 2020 to 2027.
