Gas production has started at Project Atlas in Australia’s Surat Basin, Senex Energy Ltd. said Oct. 8 in a news release.

The Australian company said the drilling campaign began in August and 11 of approximately 60 wells have been drilled and completed for the project. The first four wells have begun gas production.

The project also includes a 15 petajoule per annum gas processing facility nearing completion and a completed 60-km pipeline to the Wallumbilla Hub.

“Senex was granted the petroleum lease for Project Atlas in March 2018. The delivery of a greenfield natural gas development in 18 months is an outstanding achievement,” Ian Davies, managing director and CEO for Senex, said in the release. “The remainder of 2019 will be active and exciting as we bring more wells online, commission the gas facility and increase production to meet sales agreements,” beginning Jan. 1, 2020.

Senex said natural gas from the project will supply major manufacturers in Queensland, Australia. The company has contracted most of its expected gas production volumes in 2020, and more contracts are under negotiation.

Senex anticipates Surat Basin gas production will reach 18 petajoules per annum by the end of fiscal year 2021.

 

Onshore