Join our daily newsletter At The Bell to receive exclusive market insights
- Bass Oil (BAS) discovers a “significant” prospective gas resource within its PEL 182 permit in South Australia’s Cooper Basin
- Fluid Energy Consultants completed a geological assessment of the permit, estimating its gas potential to be 21 trillion cubic feet of gas along with 845 million barrels of condensate
- Bass and Fluid defined the Moolion East prospect as the ideal area to test the deep coal play through one or more horizontal wells
- The company says this is a “very exciting” development, and it will conduct further studies to take the prospect to drillable status
- BAS shares are up 103 per cent on the back of the discovery to trade at 7.5 cents at 2:14 pm AEDT
Bass Oil’s (BAS) shares have skyrocketed following a new gas discovery in the PEL 182 permit within the Cooper Basin region of South Australia.
The Australian oil producer discovered a “significant” prospective gas resource within its wholly-owned and operated PEL 182 play following an independent geological assessment by Fluid Energy Consultants.
Fluid’s Deep Coal Gas Prospective Resource Report estimated the gas potential contained in PEL 182 to be 21 trillion cubic feet (TCF) of gas in place along with 845 million barrels of condensate/oil.
Bass and Fluid defined a prospective area within the permit, named the “Moolion East Deep Coal Prospect”, where a pilot horizontal well or wells will be best placed to test the deep coal play.
Multi-billion-dollar stock Santos (STO) previously drilled the Moolion East 1 well, and while the company didn’t find conventional hydrocarbons, the well intersected thick, deep coal in the Permian section, which is the target of this play and study.
The potential prospective resource volume of the Moolion East prospect is 568 billion cubic feet of gas and 22.7 million barrels of condensate.
Bass Oil Managing Director Tino Guglielmo said this was a “very exciting development” for the company and its shareholders.
“At a time when the domestic gas market continues to face huge challenges meeting demand, this new potential gas resource represents a credible material contributor of gas to the domestic market,” Mr Guglielmo said.
“A new gas resource of this kind is able to be commercialised efficiently due to the mature infrastructure of the Cooper Basin. Whilst we will progress this opportunity with vigour, we are also conscious of maximising the benefit to our shareholders.”
Bass will conduct further studies to identify the best commercialisation strategies and mature the Moolion East prospect to a drillable status.
BAS shares are up 103 per cent on the back of the discovery to trade at 7.5 cents at 2:14 pm AEDT.
