Energy Resources and Norwest Energy have announced a gas discovery at Lockyer Deep-1 in the EP 368 Block in the Perth Basin. Results indicate Lockyer Deep-1 is a significant gas discovery, with an estimated 600–800m column. Logging confirmed 34m (TVD) gross pay in the Kingia Sandstone, with around 20m net. Porosity is reported between 16% and 28%, with an impressive 500 mD permeability. The Dongara/Wagina section contains a gross oil column of 66m (TVD), but with low (9%) porosity and permeability. The well has been completed as a future gas producer.
The Perth Basin is a north–south trending, onshore and offshore basin extending about 1,300 km along the south-western margin of Australia. Fluvio-deltaic sands were deposited in syn-rift Permian grabens, representing a late Palaeozoic play beneath the proven shallower play. The play was opened with Waitsia in 2014 and more recently Strike and Warrego have had success at West Erregulla. Norwest Energy’s pre-drill estimates were up to 1.1 tcf gross recoverable gas-in-place. The operator, Energy Resources (a subsidiary of Mineral Resources Ltd and the largest holder of gas exploration permits in the Perth Basin) and Norwest now plan to acquire 3D seismic over the whole area, including the adjacent North Erregulla Deep structure. The Perth Basin represents an interesting growth area for domestic gas production in Western Australia, with early plans linked to urea and ammonia production along with other new energy and renewable energy solutions in this region.