Central seeks new supplies
The Northern Territory’s largest onshore gas producer is ramping up production.
While the final review of from NT’s inquiry into hydraulic fracking is still being formulated, Central Petroleum has announced it will drill up to four new wells in March.
The gas is intended to fill the Northern Gas Pipeline, running from Tennant Creek to Mt Isa.
Central Petroleum will use conventional methods to extract the gas, rather than ‘fracking’, so does not run afoul of the current NT moratorium.
Two of the new wells will be created in the company’s Mereenie field.
Central says the field has been “capital starved” for years, but that new markets are opening up and a looming gas shortage means that is about to change.
The company claims it will be able to increase production from 15 terajoules a day to more than 60.