Name of the Project
Project Atlas.
Location
The project is located south-east of Wandoan, in Queensland’s Surat basin, in Australia.
Project Owner/s
Senex Energy.
Project Description
Project Atlas is the first acreage in Australia designated solely to supply gas to the domestic market.
The primary objective of the development programme is to reach plateau production of 32 TJ/d, or about two-million barrels of oil equivalent a day, with an additional 8 TJ/d of installed redundant capacity available.
Maintenance wells will then be drilled on an ongoing basis to sustain plateau production.
Infrastructure operator Jemena plans to partner with Senex Energy on the accelerated development of the project. Under the agreement, Jemena will build, own and operate a gas processing facility with an initial capacity of 40 TJ/d, and a 60 km pipeline to process and transport gas from Project Atlas through the Darling Downs pipeline to the Wallumbilla hub.
Potential Job Creation
The project is expected to create about 150 jobs over the life of the project.
Capital Expenditure
A capital spend of A$220-million to A$250-million was approved in October 2018.
Jemena will fully fund the downstream infrastructure, which is expected to cost an estimated A$140-million.
Planned Start/End Date
Project Atlas achieved its first gas sales in December 2019.
Latest Developments
Senex Energy has signed a domestic gas sales agreement with power generator CleanCo Queensland for 2.55 PJ of natural gas from its Atlas project, starting in January 2021.
The gas will be supplied at the Wallumbilla gas hub, in Queensland, at a fixed price in line with the current market levels. The Altas gas will fuel CleanCo’s 385 MW gas-fired power station near Ipswich.
The Australian Petroleum Production and Exploration Association (Appea) has welcomed the new one-year agreement.
“During these tough times, it’s encouraging to see the oil and gas industry continuing to supply natural gas to domestic customers, including manufacturers to help support local jobs and economic growth,” Appea CEO Andrew McConville has said.
Senex has contracted more than 35 PJ of natural gas from Atlas. Gas production from the project for the 2020 calendar year has been fully contracted, while about 70% of 2021 production has also been contracted.
Key Contracts and Suppliers
Jemena (construction contract).
Contact Details for Project Information
Senex Energy, tel +61 7 3335 9000.