Palm Valley Update
Brisbane, April 11, 2018 AEST (ABN Newswire) - Central Petroleum Limited (
ASX:CTP) ("Company" or "Central") has undertaken a review of the maximum delivery capability of the existing Palm Valley wells to determine what production rates could be achieved without considering the Palm Valley-13 well, which will be drilled this fiscal year. That review concluded that existing Palm Valley wells could produce at a rate of 15 TJ/d (5.5 PJ p.a.) for a period of two years before reverting to 5 TJ/d thereafter. The Company is in the middle of a FEED process for the facilities upgrade at Palm Valley to enable it to process its historical design capacity of 20 TJ/d (7.3 PJ p.a.). In light of the review the board has sanctioned the reopening of the Palm Valley field and the employment of additional personnel without awaiting for the results of Palm Valley-13.
The results of the FEED is timed to coincide with the results of Palm Valley-13 becoming available.
As a result of this decision, the Company is confident that it will be able to have 15-20 TJ/d of Sales Gas available by the time the Northern Gas Pipeline is operational-assumed to be 1 December this year.
"This is an important step forward to achieving Central total Sales Gas production of 54 TJ/d (19.6 PJ p.a.) by 1 December this year up from existing sales of 17 TJ/d, more than tripling this year's production," said Richard Cottee, Managing Director.
About Central Petroleum Limited
Central Petroleum Limited (
ASX:CTP) is an established ASX-listed Australian oil and gas producer (ASX:CTP) with exploration and appraisal permits in the Northern Territory (NT). Central has grown to become the largest onshore gas operator in the NT, supplying residential and industrial customers in the NT and wider Australian east coast market.
Central is seeking to become a major domestic energy supplier, in addition to helium and naturally occurring hydrogen, with exploration, appraisal and development plans across 169,112 km2 of tenements the NT, including some of Australia's largest known onshore conventional gas prospects in the Amadeus Basin.
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