Australian government awards 12 new offshore exploration permits

Sydney (Platts)--3Apr2007

The Australian government has announced the award of twelve new petroleum
exploration permits in Commonwealth waters offshore Western Australia,
Tasmania and the Territory of Ashmore and Cartier Islands.
The permits were part of the government's 2006 acreage release which
totaled 36 new offshore exploration areas. Bids for 22 of the permits closed
on November 9, 2006, with bids for the remaining 14 areas to close on May 10,
2007.
"A record 52 bids were received for 20 of the 22 areas on offer,"
Australia's Minister for Industry, Tourism and Resources Ian Macfarlane said
in a statement Tuesday. He added that the successful bidders planned to spend
more than A$1 billion over the next six years exploring the permits.
Australia is enjoying a major push by local and global explorers focused
on low-risk, large-volume gas projects to serve the Asia Pacific energy
market, according to Macfarlane.
"Explorers are responding positively to the range of federal government
measures introduced to encourage offshore petroleum exploration," he added.
"These include more favorable tax rates for petroleum companies exploring in
frontier areas, setting frameworks to make it more attractive for seismic
operators to provide valuable data to the industry, and government funding of
a further A$134 million for precompetitive data gathering by Geoscience
Australia."
Three of the new permits awarded are in the Carnarvon Basin off Western
Australia and have been won by Hess Exploration Australia; a consortium of
Chevron, Shell and ExxonMobil; and a consortium of Octanex and Strata
Resources. Three are in the Carnarvon Basin's Barrow Sub-basin, and were
awarded to OMV; Sweetpea Petroleum; and Holloman Corporation.
Three of the permits are in the Bass Basin off Tasmania and were awarded
to Origin Energy; a consortium of Tap Oil, SPC Production Company and Jubilant
Energy; and a consortium of Rawson Resources and Hardie Infrastructure.
One permit was awarded in the Bonaparte Basin's Vulcan Sub-basin off the
Territory of Ashmore and Cartier Islands in the Timor Sea to Coogee Resources.
As previously reported by the companies involved, one permit was awarded
to Great Artesian Oil and Gas in the Gippsland Basin's Southern Platform off
Tasmania; and another was awarded to Shell and Nexus Energy in the Northern
Browse Basin off the Territory of Ashmore and Cartier Islands.