EP368/426 Onshore Exploration
EP368 & EP426 Exploration Permits
Norwest Energy 20% – held via wholly owned subsidiary (Westranch Holdings Pty Ltd)
Energy Resources Ltd 80% (Operator) – a division of Mineral Resources Ltd
Exploration permits EP368 and EP426 encompass an area of some 1,725 km2 within the highly prospective “sweet spot” of the northern Perth Basin. The permits’ prospectivity has been greatly enhanced by the very significant Permian gas discoveries at Waitsia, West Erregulla and Beharra Springs Deep. The Lockyer Deep/North Erregulla Deep prospect offers prospective resources of up to 1.2 Tcf gas (recoverable) and Operator Energy Resources is presently preparing to drilling the Lockyer Deep-1 exploration well.
The Lockyer Deep/North Erregulla Deep prospect is situated just 10kms to the north of the 2019 West Erregulla has discovery, and 15kms due east of the giant Waitsia gas field. The structure is comprised of a three way dip feature, fault-closed to the west, with the primary Kingia and High Cliff reservoir targets at a prognosed depth of 3,900 metres. Importantly the Lockyer Deep structure is a close analogue to Beach Energy’s 2019 Beharra Springs Deep discovery, representing a “mirror image” in terms of structural style and geological juxtaposition across the closing fault, which acts as a seal at Beharra Springs Deep. As such Norwest Energy estimates the Geological Chance of Success (GCoS) for Lockyer Deep-1 to be 38%.
The prospective resources for the Lockyer Deep/North Erregulla Deep complex are as follows, offering up to 224 Bcf recoverable gas, net to Norwest Energy.
Additional prospects and leads are present across EP368/426, including the Greater Springy Creek pol prospect which offers up to 61 MMbbls oil recoverable (gross) and an excellent follow-up drilling opportunity to Lockyer Deep-1. A 2D seismic reprocessing program is currently in progress, aimed at maturing this and other structural leads in order to fully broaden and characterise the prospect inventory.
Success at Lockyer Deep-1 is likely to be a transformational outcome for the Company.