PETROLEUM EXPLORATION ACTIVITY IN AUSTRALIA AND PAPUA NEW GUINEA 1972-1973

1973 ◽  
Vol 13 (2) ◽  
pp. 17
Author(s):  
E. R. Smith

A highlight of 1972 has been the continued success on the Northwest Shelf where it has become apparent that the reserves of natural gas are very large. There have also been two promising oil discoveries in this area.Significant new gas fields were discovered in the Cooper Basin, which have finally assured sufficient reserves for the Sydney market. However the development of the Tirrawarra oil field has been disappointing.Petroleum exploration activity in Australia and Papua New Guinea improved slightly during 1972, mainly because of increased activity in offshore areas. It is likely that this trend will continue through 1973.

Asian Survey ◽  
2017 ◽  
Vol 57 (1) ◽  
pp. 194-198 ◽  
Author(s):  
Ronald May

Prime Minister Peter O’Neill came under continuing pressure to step down pending resolution of corruption charges but resisted demands from university students and civil society groups and convincingly defeated a parliamentary vote of no confidence. Papua New Guinea experienced a further decline in GDP growth and faced landowner threats to shut down liquefied natural gas production.


1987 ◽  
Vol 27 (1) ◽  
pp. 35
Author(s):  
Peter A. Wilson

The Australian Income Tax Assessment Act, 19S6 (the Act) has recently been amended by the inclusion of a full foreign tax credit system (FTCS) to replace the partial and exempt system previously existing. In view of this change, and the increase in Australian participation in Papua New Guinea (PNG), petroleum exploration re-consideration of conventional corporate structuring into PNG is warranted.In considering the form of a tax effective structuring, it will be necessary to consider matters such as the following:obtaining an appropriate mix of debt and equity with the debt provided in a form so that the service fee will not qualify as interest for FTCS purposes;structuring the PNG operations through a subsidiary incorporated out of Australia, e.g. PNG;ensuring that the shareholding in the company is appropriate to enable a full credit for 'underlying taxes'; andobtain any 'tax sparing relief available due to the PNG treatment of interest and dividends.These aspects and the many other relevant planning points require consideration of complex legislation. In the absence of direct legal precedent, proper and full consideration is warranted if all intended financial benefits are to be obtained.


Subject The economic outlook for Papua New Guinea. Significance The outlook for the leading commodity exports from Papua New Guinea (PNG) -- natural gas, oil and gold -- remains positive, but by most counts the economy is deteriorating and will worsen as Asia’s aggregate demand for resource commodities falls. Impacts The new government may pass legislation to obtain higher returns to PNG from foreign investment. Perceived corruption and declining governance will directly damage investor confidence. As financial and economic pressures mount, there may well be changes in macroeconomic policy.


1975 ◽  
Vol 15 (2) ◽  
pp. 72
Author(s):  
Phillip E. Playford

Modern petroleum exploration has been in progress in Western Australia since 1952, and has been concentrated mainly in the Perth, Carnarvon, Canning, and Bonaparte Gulf Basins. Two large onshore fields have been developed, the Barrow Island oilfield in the Carnarvon Basin (found in 1964), and the Dongara gasfield in the Perth Basin (found in 1966). Small gasfields have also been developed at Mondarra, Gingin, and Walyering in the Perth Basin, but Gingin and Walyering are now virtually depleted.Major gas-condensate fields have been found offshore. These are the North Rankin, Goodwyn, West Tryal Rocks, and Angel fields in the northern Carnarvon Basin, and the Scott Reef field in the Browse Basin. They were found during the period 1971 to 1973, but none has yet been developed.Since 1968 the accent has been on offshore exploration, and this reached a peak in 1972. Exploration activity, both onshore and offshore, is currently declining, owing to the lack of recent success and the unfavourable exploration climate prevailing in Australia today.Original reserves in the Dongara gasfield amounted to about 13 billion cubic metres, of which nearly 2.1 billion have now been produced. Current gas production from Dongara and the small adjoining Mondarra field is about 2.2 million cubic metres per day, and production will continue at about this rate until 1981, after which it will begin declining. Production will fall steeply in 1987, when existing contracts expire. At that time about 90% of the reserves will have been depleted.The original in-place reserves of the Barrow Island oil-field amounted to some 750 million barrels, and it is expected that about 240 million will be recovered. Current oil production is around 37,000 barrels per day, compared with the peak of 48.000 barrels per day reached in 1970. Nearly 43% of the original reserves have now been produced.Total reserves of the major fields in the offshore northern Car-narvon Basin (in the proved and probable categories) are more than 345 billion cubic metres of gas and 320 million barrels of condensate. Of these amounts more than 220 billion cubic metres of gas and 180 million barrels of condensate are in the North Rankin field, which is the largest gasfield in Australia and is a giant by world standards. This is followed by Goodwyn (about 65 billion cubic metres of gas and 90 million barrels of condensate), West Tryal Rocks (more than 30 billion cubic metres of gas) and Angel (about 30 billion cubic metres of gas and 50 million barrels of condensate).Further drilling will be required before gas reserves of the Scott Reef field can be estimated, but the results of the first well and the size of the structure indicate that they could be very large. It is clear that future exploration in Western Australia will be mainly concentrated offshore, in the Carnarvon, Browse, Bonaparte Gulf, and Perth Basins. However, there are still some prospective onshore areas in the Perth, Carnarvon, and Canning Basins.The chances of finding giant oilfields in Western Australia have declined markedly in recent years, as It seems that the generative sequences are mainly gas prone, and most of the obvious structures have now been drilled. However, the prospects are good for further large gas discoveries, and there is a reasonable chance that significant oil reserves will also be found.


1974 ◽  
Vol 14 (2) ◽  
pp. 17
Author(s):  
L. W. Williams

THE FIRST of the Petroleum Search Subsidy Acts was introduced in 1957, when the level of petroleum exploration in Australia was very low. The types of operation eligible for subsidy, and the subsidy rates, have been altered from time to time in recognition of changing circumstances. The present Act is not to be extended and only covers operations which will be completed by 30 June 1974.The activity in various areas in Australia and Papua New Guinea has fluctuated during the period that the Acts have been in force. The early, relatively high, level of activity in Queensland was not maintained, and other areas, such as Western Australia, received increased attention. The percentage of subsidy funds going to operations in offshore areas has changed markedly. The Acts have provided assistance to petroleum exploration in Australia in several ways. In the early days of the Act, when little expertise on petroleum exploration was available in Australia, standards were set for the field operations and reporting, and the operations were closely supervised, ensuring a reasonable minimum standard of performance. Payments under the Act have assisted companies, particularly those with limited funds, to engage in exploration and have also encouraged all companies to explore in Australia by reducing the effective unit cost of exploration. The information which has become available through the operation of the Act has assisted exploration by enabling exploration decisions to be based on the results of most of the exploration which has been carried out in Australia.The Petroleum Search Subsidy Acts, which will cost a total of some 7150 million, have made a very useful and significant contribution to petroleum exploration in Australia and Papua New Guinea over a period of 17 years.


1968 ◽  
Vol 8 (2) ◽  
pp. 22
Author(s):  
L. W. Williams

To change is expected in the trend which has developed over the last few years towards increasing interest in offshore areas, and in Papua-New Guinea.The overall expenditure on petroleum exploration in Australia and Papua-New Guinea during 1968 will be approximately the same as in 1967.Because of the greater expense which will be incurred through the increased use of offshore drilling vessels, a reduction in other exploration activities is expected. This reduction will occur mainly in geophysical operations and the biggest reduction will be in seismic surveys on land.


2016 ◽  
Vol 56 (2) ◽  
pp. 578
Author(s):  
John Warburton ◽  
Keiran Wulff

Gas was first discovered by drilling activity in Papua New Guinea in 1956. Nevertheless it was almost 60 years later when the Exxon-operated PNG LNG Project became the first large-scale commercialisation of the country’s prolific gas resources, with export of the first LNG shipment in May 2014. The proven fluvial-deltaic Late Jurassic, early Cretaceous and Tertiary carbonate reservoirs are prolific petroleum producers. When combined with the high-quality liquid-rich nature of the gas and the onshore location, this has resulted in PNG’s LNG projects being some of the lowest cost and most profitable LNG projects globally. The success of the PNG LNG Project along with the substantial identified existing and yet-to-find gas resources has resulted in a recent resurgence of exploration interest in PNG as companies look to expand and capitalise on the country’s developing position as a globally significant LNG supplier. In 2015 Oil Search undertook a whole of country review using its extensive database and in-country knowledge. This study incorporated all well, seismic, surface, remote sensing, production and development data, and has resulted in a detailed understanding of the play distribution and risk ranking, and importantly delineated a number of potentially material new play types in the country. Approximately 4.8 billion barrels of oil equivalent recoverable resources (2P and 2C) have been discovered in PNG to date, of which approximately 85% is gas. The countrywide regional study and common risk segment analysis by Oil Search (2015) established that PNG potentially contains an additional seven billion barrels of oil equivalent resource still to be discovered. The majority of this volume is expected to be gas, estimated to be in the order of 40 trillion cubic feet and 550 million barrels of undiscovered prospective resources. Oil Search has been active in all of PNG’s known petroleum basins since 1929 and built a substantial database. Pool-size distributions and a countrywide prospects and leads inventory suggest discovery of new giant fields is likely and of sufficient scale to support future LNG projects. Six sub-basins contain proven petroleum plays that are predicted to extend into under-explored areas. These areas represent the future petroleum exploration frontier in PNG.


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