A PETROLEUM exploration company has announced its intentions for the region, following news of Beach Energy’s latest conventional gas plans.
The announcement by Rawson Oil and Gas Limited has already caused a stir throughout the community with concerned residents voicing their opinion.
The company plans to drill a conventional gas well in the Nangwarry district by the end of this year, estimated to cost $11.5m.
The Nangwarry-1 exploration well will be drilled south of Beach Energy’s Haselgrove-3 discovery.
The news comes as Beach Energy also announces it is moving forward with its proposed Dombey-1 conventional well, which is likely to be around 20km west of Penola.
Rawson – along with its joint venture partner Vintage Energy Ptd Ltd – has announced in “coming weeks” work on drilling and service contracting options will begin for the drilling of the Nangwarry-1 well.
The company – which is yet to announce the specific location for the proposed conventional well – confirmed the initial basis of design has been completed.
In a statement, Rawson revealed extensive remapping showed the Sawpit play concept extended south from Haselgrove into PEL 155 and provided a second major objective for Nangwarry-1.
“Nangwarry-1 is now planned to target the original top Pretty Hill and deeper Sawpit Sandstone reservoir objectives,” the statement said.
Lifecycle engineering consultancy firm Wellsafe – headquartered in Adelaide – has been engaged to provide well engineering advice for the drilling, completion and testing of Nangwarry-1.
Rawson chair Allister Richardson was contacted for comment.
Prominent Limestone Coast environmental campaigner Anne Daw said the Rawson project – known as PEL 155 JV – was awarded $4.95m by the former Labor State Government.
Ms Daw – a member of a governmental oil and gas roundtable – argued this was at the expense of taxpayers and the new State Liberal Government must extend the unconventional mining moratorium to include conventional wells.
“How can a party say they want to protect the South East agriculture and water and then turn around and say that ‘conventional gas and exploration is okay?’,” she said.
“All are extremely risky. Both go through potable aquifers, geological formations and fault lines, providing pathways for contamination. Both flare and produce toxic emissions.
“The scientific arguments against conventional wells and exploration in the South East are endless.”
Ms Daw said the geology and hydrology in the South East was “unsuited” for any mining or petroleum activities.
“Even if the Liberals could prove conventional wells are safe – which they cannot – and in 10 years time another party is voted in and lifts the ban on fracking, where does this put the situation in the South East?” she said.
“The wells are ready to be converted to ‘frack’ as they are already in place, through the shale.”