AWE Raises WA's Perth Basin Gross Recoverable Gas to 700 Bcf

AWE Limited, the Operator of Permits L1/L2 in the Perth Basin, Western Australia, reported Friday initial 2P Reserves and upgraded 2C Contingent Resource estimates for the Waitsia gas field following evaluation of the Waitsia-1 and Waitsia-2 appraisal well results.

Managing Director, Bruce Clement, said the data gathered from Waitsia-2 allowed AWE to significantly increase the company’s previous estimate of gross recoverable gas and book initial 2P Reserves.

“Waitsia-2 has proved to be another major success for AWE. With three wells now drilled on the Waitsia field, we have sufficient data to increase our estimates of total gross recoverable gas, on a P50 basis, from 290 billion cubic feet (Bcf) of gas to 484 Bcf of gas – an uplift of 67 percent,” he said.

“In total, we have now booked over 700 Bcf of gas gross as 2P Reserves and 2C Contingent Resources in fields discovered and/or appraised in 2014-15.

“As previously announced, AWE is moving forward with development plans for low-cost, early-stage gas production from the Waitsia field by mid-2016. Gas marketing is making good progress and the joint venture has applied for a license to construct a pipeline from the Senecio-3 and Waitsia-1 wells to the Xyris production facility, located near the Waitsia-2 well,” Clement said.

“In addition to the Waitsia field, we have also estimated gross 2C Contingent Resources of 237 Bcf of gas in the Senecio, Irwin and Synaphea tight gas fields in the Dongara/Wagina formation.

“The Waitsia field, together with AWE’s other onshore north Perth Basin gas discoveries, represents an exciting new project for the company. The volume of gas is substantial and should provide AWE with a highly valuable long-term domestic gas business in Western Australia,” he said.