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29 Aug 2024, by Amy Sarcevic
Empire Energy Group recently made headlines when it formed a contract with the Northern Territory Government to supply 25 terajoules (TJ) of gas per day from its Carpentaria Pilot Project in the Beetaloo Basin.
The ten year agreement is due to commence in 2025, in what Chief Executive Alex Underwood describes as a “very busy year” for the business.
This builds on a period of heightened activity for Empire, during which it has been one of the most active companies in the Beetaloo Basin.
“In the last four years, we have performed two seismic surveys, drilled two horizontal and two vertical wells. We’ve had a lot going on – and the flow rates we’ve achieved from those appraisal wells indicate that we have an economic development,” said Mr Underwood.
Ahead of the SEAAOC Conference at NT Resources Week, Mr Underwood shares details of this and other major developments on the company’s horizon.
Ramping up its exploration efforts
By the end of 2024, Empire Energy expects to drill, stimulate and flow test its first pilot development well, known as Carpentaria 5H.
“It will be the biggest well we’ve ever drilled, with the longest horizontal section,” Mr Underwood said. “We intend to sell gas from that, and two other appraisal wells we’ve already drilled.
Empire is already well-placed to bring the output from these wells to market. The MacArthur River Gas pipeline runs directly through EP187 – the tenement on which its pilot project is located – and a pipeline connection has already been built.
In addition, the company recently acquired a gas processing facility on the outskirts of Sydney, and have since relocated the facility to Queensland, where it is undergoing refurbishment.
“We acquired the plant late last year and we intend to commission, subject to regulatory approvals – most likely in the second quarter of next year after the wet season.”
With these assets in place, the next twelve months will see a frenzy of activity, Mr Underwood said.
“We’ll see the drilling and stimulation of that well, the tying of that well to the gas plant which we will be installing, and the tying of that gas plant to the pipeline for the commencement of sales. In the success case, this will be the first sale of gas from the Beetaloo Basin – so it’s a major development.”
Production in sight
The company has been growing steadily since it first applied for its leases in 2011, but Mr Underwood is confident the next year will see exponential growth.
“We have been active in the NT for quite a long time, and now we are seeing that the need for additional gas supply has become critical.
“It has given us impetus for targeting production at a range of levels, to supply the Northern Territory, the East coast markets, and ultimately LNG export.
“We certainly see the momentum for gas in the transition picking up.”
Further insight
Talking more about this work and its plans for the year ahead, Alex Underwood will present at the upcoming SEAAOC Conference at NT Resources Week.
This year’s event will be held 18-19 September at the Darwin Convention Centre.
One ticket to NT Resources Week gives you access to three conferences: SEAAOC, Mining the Territory and the NT Clean Energy & Decarbonisation Forum.
About Alex Underwood
Alex Underwood has been the Chief Executive Officer of Empire Energy Group Limited since August 2018. For the last 6 years he has restructured Empire’s asset portfolio, selling US assets to become a Beetaloo Basin pure play. He is focused on delivering Empire’s Beetaloo project, for the benefit of Empire’s shareholders, traditional owners, landholders, local communities and the people of the Northern Territory.
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