Bengal Energy Ltd., Calgary, has a plan for an oil and gas development in its four recently acquired 100%-owned petroleum leases in the Queensland sector of the Cooper basin.
The company will focus on Wareena, Ghina, Karnak, and Ramses leases (production licenses 1110, 1109, 411, and 188 respectively), all of which are close to the operator’s 100%-owned exploration permit ATP 934.
The production permits are not currently producing, but all contain existing wells with drill stem test results and/or gas production from Permian-age reservoirs, Bengal said.
Bengal has identified four wells to be tested and recompleted for production in an initial development phase.
The program will involve:
- Recommissioning a 26 km pipeline (held under pipeline license PPL 138) to tie in the previously producing Wareena liquids-rich gas wells into a nearby compression station connected to the eastern Australian market.
- A workover of the Ramses well which has a Permian gas discovery as well as an oil zone that recovered 588 b/d of light oil during a previous short duration drill stem test. Bengal plans a new longer test to confirm deliverability and, if successful, the well will be brought on stream with oil sold into the local market.
- A workover of the Ghina well to evaluate a previous Permian liquids-rich gas discovery and an assessment of the economics of a tie-in and field production.
- A twinned drilling of the existing Karnak well that found a liquids-rich gas pay zone in the Permian using underbalanced drilling techniques. If successful, the well will be tied in to nearby gathering infrastructure for commercial production.
In readiness for the program, Bengal has signed formal service contracts with Ago Vires Pty Ltd. as principal contractor, Fyfe Pty Ltd. for surface facilities engineering and pipeline integrity, InGauge Energy Pty Ltd. for well drilling and completion, Risk Safety Management Services Pty Ltd. for establishing and monitoring the health and safety program, and T29 Holdings Pty Ltd. for surface access, native title and tenure, rehabilitation work, and regulatory title matter.
All contractors are local Queensland-based companies.
Bengal president and Chief Executive Officer Chayan Chakrabarty said the work presents an appraisal and development opportunity, operated by the company, which is complementary to Bengal’s non-operated interest in the producing Cuisinier field. It also could advance future growth through exploration in the company’s ATP 934 permit with access to an existing pipeline to market, he said.