Coal Seam Gas – Denison Gas

The greater Denison Trough contains a significant CSG resource that has been appraised and developed by operators of surrounding projects.

The Bandanna Coal Measures, which are productive in the nearby Fairview, Spring Gully, Arcadia Valley and Mahalo gas project areas, are present across almost all of the PL and ATP areas operated by Denison Gas.

In 2019, Netherland Sewell and Associates (NSAI) estimated that CSG Contingent Resources hosted within the PL areas alone totalled 437 BCF on a 2C basis. These resources were assigned to the project areas below;

Yellowbank CSG Project (PL43 & 44) – 279 BCF
Rolleston CSG Project (PL42) – 77 BCF
Yamala CSG Project (PCA 153 & 154) – 81 BCF

Recent exploration undertaken by Denison Gas confirmed the prospectivity of the Bandanna Coals Measures across the proposed project areas. Thick, permeable coal seam reservoirs containing a high quality gas resource were identified within both the Yellowbank and Rolleston project areas.

These results have encouraged appraisal and further exploration plans in the PL and ATP areas with pilot well drilling and testing planned for 2022 and 2023 in the Yellowbank and Rolleston projects respectively.

Further adding to the strong sub-surface project fundamentals, both the Yellowbank and Rolleston CSG projects directly underlie the existing conventional fields gas gathering networks and gas processing plants. Early commercialisation of the planned pilot well production is rapidly achievable being located less than 5km from the gas processing and sales facilities as will any potential development once the projects have been successfully appraised.