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Beach Energy discovers new gas in Perth Basin

Energy
ASX:BPT      MCAP $3.547B
28 October 2019 01:52 (AEST)

Beach Energy has made a new gas discovery at its jointly held well in the Perth Basin.

The company holds a 50 per cent interest in the Beharra Springs well, with resource exporter Mitsui & Co holding the other half.

“Perth Basin is a key growth asset in the Beach portfolio,” Managing Director Matt Kay said.

“The result at Beharra Springs Deep is further validation of the Basin’s conventional gas potential,” Matt added.

Testing at the well continues and is expected to be completed in the coming weeks. From here, the company will commence production testing.

According to Beach, the well is 450 metres from the Beharra Springs gas processing facility. A portion of the gas extracted is set to be commercialised.

Beach Energy operates the Waitsia project which it holds a 50 per cent interest in. When the company purchased its interest, it gained a holding in the Xyris production facility where gas from two wells is processed.

Going forward, the company aims to further develop the Waitsia project in a bid to find more prospective targets which will guide future drilling campaigns.

“Our near term plans include the expansion of Waitsia Stage 1, reaching final investment decisions of Waitsia Stage 2 and acquisition of the Trieste 3D seismic survey over the coming months,” Matt said.

Beach Energy’s share price is up 2.5 per cent today, currently trading for $2.41 per share.

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