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Pilot Energy receives permit approval

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Oilfield Technology,

Pilot Energy Ltd has announced that the National Offshore Petroleum Titles Administrator (NOPTA) has approved the company’s application to replace the WA-481-P year 5 and year 6 commitment wells with an alternative work programme that has been designed to de-risk high-graded prospects for future drilling.

WA-481-P is currently in permit year 4, expiring on 19 August 2017. Previously, permit years 5 and 6 incorporated a commitment to drill an exploration well. However, Pilot Energy applied to NOPTA to remove the commitment wells, on the basis that further technical studies are required before further drilling can take place within the permit.

As such, a revised work programme is now in place for years 5 and 6, comprised of seismic data reprocessing and geological/geophysical studies. These studies are designed to address the primary geological risk associated with the various prospects located within WA-481-P, such that an inventory of drill-ready prospects can be finalised for drilling.

It is likely that a firm well commitment will be required to be included within renewal of the permit, after its expiry in August 2019. The removal of the current commitment wells does not preclude exploration drilling before that time, subject to identifying a farmin partner. The joint venture will market WA-481-P to potential farmin partners in parallel with the ongoing technical work, and regards removal of the commitment wells as significantly improving the project’s marketability.


Permit summary

WA-481-P is jointly held with Key Petroleum Ltd (Key), and located in shallow waters to the west of the onshore Dongara/Beharra Springs/Waitsia gas fields, and the Jingemia/Hovea/Cliff Head oilfields. Pilot Energy and Key’s onshore exploration permit lies approximately 10 km to the east. The permit is large (17 475 km2) and covers a major portion of the offshore extension of the North Perth Basin. The primary petroleum plays are for oil and/or gas within the Dongara Sandstone and the Irwin River Coal Measures, both of which produce oil at the adjacent Cliff Head oilfield.

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