Gas reserves slashed at BassGas project

Proven plus probable, or 2P gas reserves at the Yolla field, part of the BassGas project in offshore Australia, have been cut by 30 percent. The revision follows a reassessment performed by the project’s operator, Origin Energy, using data obtained from the Yolla-5 and Yolla-6 development wells drilled in the second quarter of 2015. The 30-percent cut represents a reduction of 5.5 million barrels of oil equivalent to 13 million barrels of oil equivalent.

Australian energy company Origin Energy owns a 42.5-percent stake in the BassGas project. The other shareholders in the joint venture are Australian upstream company AWE (35-percent), Toyota Tsusho, part of conglomerate Toyota Group (11.25-percent) and the upstream arm of Indian state-owned Hindustan Petroleum Corporation, Prize Petroleum (11.25-percent).

AWE announced the new figures imply a non-cash impairment of $73.6 million-$80.94 million to the company’s 2015 accounts. Once Yolla-5 and Yolla-6 come onstream, the field’s total production is expected to increase to 1.72 mcm (63 mcf) per day. The BassGas project in permit T/L 1 consists of an offshore wellhead platform in that is connected by pipeline to the gas processing facility at Lang Lang, Victoria.

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