The Ocean Patriot has been contracted to drill PEP11 in the Offshore Sydney Basin. PEP11 is being progressed with joint venture partner Bounty Oil and Gas (ASX: BUY).
An exact date for drilling is yet to be determined and is contingent upon pre-existing contracts between the other parties. The range of dates to commence drilling in PEP 11 is within the third quarter of 2010, with operations currently planned for mid August and expected to take approximately 25 days.
"It is a milestone for Advent Energy and joint venture partner Bounty.
Following revision of newly reprocessed seismic data by Tanvinh Resources, a new target has been increased to prospect status and will be the first prospect drilled in PEP11. The prospective P50 Original Gas In Place (OGIP) estimate is 6.09 Trillion cubic feet (P90 = 1.77 Tcf, P10 = 24.76 Tcf).
Further details regarding the drilling operations will be announced to shareholders and the market as they become available.
MEC Resources' investee Advent Energy Ltd is pleased to advise that it has commenced procurement of long lead items and selected/awarded key service providers for the drilling of PEP 11 in the offshore Sydney Basin. Key contracts include, wellhead and surface conductor, casing and Helicopters.
By engaging these key suppliers Advent is well prepared for its anticipated drilling later in 2010.
The first tranche of this work is expected to be completed by the end of November, including coverage of the primary drilling target area.
The reprocessing, developed by Fugro Multi-Client Services over the last six months, has shown marked improvement from the original processed data. As a result, Fugro were contracted to reprocess in tranches the entirety of the 2004 Baleen 2D Seismic Data.
]]> Elsewhere, Advent continues to progress the PEP11 project aggressively with a number of key deliverables being announced recently including discussions and the exchange of information with potential joint venture partners, as well as:
• Rig negotiations to drill PEP11 being at an advanced stage,
• Government approvals having been received for the pre-drilling site survey, and
• Planning for this pre-drilling site survey now underway.
The object of the survey is to detect transients of secondary magnetic fields associated with micro-seepage plumes and REDOX cells over hydrocarbon reservoirs. In addition to the Weaber Gas Field in RL1, there are a number of leads and prospects in EP386 and RL1 as well as unknown prospectivity in much of the permits. The aim of the survey is to upgrade these various prospects in EP386 and RL1 for further evaluation for drilling.
Advent holds a 100% interest in each of EP386 and RL1.
Advent, through wholly owned subsidiary Asset Energy Pty Ltd, was required to submit an Environmental Plan (EP) to the NSW DPI for its proposed exploration activities in PEP11.
The NSW DPI has subsequently advised that the geophysical site survey component of the EP has been accepted, pursuant to the Commonwealth Peroleum (Submerged Lands) (Management of Environment) Regulations 1999.
MEC Resources (ASX:MMR) is pleased to advise that investee company Advent Energy Ltd ("Advent") has received approval from the Department of Environment, Water, Heritage and the Arts (DEWHA) for the pre-drilling site survey in the offshore Sydney Basin petroleum exploration permit PEP11.
MEC Resources (ASX:MMR) is pleased to advise that investee company Advent Energy Ltd ("Advent") has received approval from the Department of Environment, Water, Heritage and the Arts (DEWHA) for the pre-drilling site survey in the offshore Sydney Basin petroleum exploration permit PEP11.
Advent, through wholly owned subsidiary Asset Energy Pty Ltd, was required to submit a referral to DEWHA for its proposed pre-drilling geophysical site survey under the Environment Protection and Biodiversity Conservation Act 1999 (EPBC Act).
DEWHA has advised:
"the proposed action is not a controlled action, provided it is taken in accordance with the manner described in the enclosed decision document. This means that, provided that the action is undertaken in that way, it does not require further assessment and approval under the EPBC Act before it can proceed."
About MEC Resources
ASX listed MEC Resources (ASX: MMR) invests into exploration companies targeting potentially large energy and mineral resources. The Company has been registered by the Australian Federal Government as a Pooled Development Fund enabling most MEC shareholders to receive tax free capital gains on their shares and tax free dividends.
About Advent Energy
Advent Energy Ltd is an unlisted oil and gas exploration company. Advent holds a strong portfolio of exploration and near-term production assets throughout Australia. Advent's cornerstone project lies off the coast of NSW in Petroleum Exploration Permit 11 (PEP11), and has been estimated to comprise up to 16.3 Tcf (P10 or 'high' level) prospective recoverable gas resources.
These anomalous features are considered prime indicators for the occurrence of hydrocarbons and Advent believes that these DHI are highly encouraging for the prospectivity of PEP11 in the offshore Sydney Basin.
A detailed review of the CSIRO report is currently being compiled.
An example of the seismic features is provided on the right from seismic line B4-11 (seismic line length is ~30 km). The zones of contiguous amplitude anomalous horizons are depicted as yellow polygons in the permit map which can be viewed in the full announcement.
Advent notes that these newly identified prospective zones are analogous to the giant Marlim field in the Campos Basin in Brazil.
Location (left) and seismic transect (below) of the Marlim Oil Field, Campos Basin, Brazil, as used by Essential Petroleum as an analogy to their Descartes Prospect, in VIC/P50 in the offshore Otway Basin, Victoria. Essential Petroleum state that this prospect may hold 800 MMbbl oil (P50).
Modelling suggests that the hydrocarbon migration in the offshore Sydney Basin in PEP11, as described previously by Advent as manifesting in the seismic data as HRDZs, gas chimneys, chemotropic mounds and similar features, has charged the sediments of the Cainozoic wedge. The resulting accumulation of hydrocarbons in these sediments can produce the reverse polarity and amplitude anomalies as seen and mapped in the aforementioned images.
The Quaternary sediments have been described to comprise a large variation in grainsize (from clay to gravel) with the dominant grain size a medium-to coarse grained sand (Sayers, 2004). It is feasible that an appropriate sorting of sediments during the progradational Cainozoic deposition resulted in an ideal package of potential reservoir and sealing units - Boyd (1998) describes similar such "forced regressive shorelines" as of considerable importance to the hydrocarbon exploration industry because of the significant potential for good reservoir development. In addition, no faults have been interpreted in the Cainozoic sediment wedge on seismic data from modern surveys, implying very low risk from a 'fault breach' point of view (Sayers, 2004).
In a further step towards commercial development of the project, conceptual well design and well testing planning has been completed for drilling of the Fish Prospect. Environmental approvals are in the process of being lodged. Advent is also continuing to pursue joint venture discussions and is in discussions to secure an appropriate drilling rig to test PEP11.
• New hydrocarbon indicators revealed
• Evidence of extensive gas generation
• Key consultants appointed and potential joint venture partner discussions underway
• Advent looking to secure an appropriate drill rig
MEC Resources Ltd (ASX:MMR) advises that its investee entity Advent Energy Ltd (Advent) has interpreted significant new seismically indicated gas features in an ongoing review of its exploration data for the PEP11 offshore Sydney Basin project (JV partner - Bounty Oil & Gas NL (ASX: BUY)
Interpretation of Seismic Survey Data Continues
HRDZ (Hydrocarbon Related Diagenetic Zones) are indicators of hydrocarbon migration. Comparisons have been made between HRDZ observed in the 2004 Baleen seismic survey data and those by Geoff O'Brien, formerly of Geoscience Australia and R. Cowley, over the Skua, Swift and Tahbilk fields in the prolific Bonaparte Basin and over the Browse Basin. Comparisons in addition to other images can be read in full in the announcement ASX MMR Significant Gas Features 230309.pdf
Review of amplitude versus offset data (AVO)
As part of its ongoing exploration, Advent has continued to analyse data covering potential key hydrocarbon indicators detected over PEP11 in an attempt to further understand the extent of hydrocarbon charge observed indirectly as gas seeps at the seabed surface and on seismic data. A recent review of the results of an earlier study of amplitude versus offset data (AVO) analysis undertaken by an independent contractor indicates the possible presence of hydrocarbons adjacent to structures previously identified in PEP 11.
The analysis of the potential AVO on seismic line B4-15 is displayed in the seismic section below. Ongoing AVO work is aimed at extending the anomalies onto adjacent seismic lines.
Further AVO analyses will contribute to assisting the interpretation of seismic data already acquired.
"The AVO work done so far is encouraging for the possible presence of gas effects in the target zones and we eagerly await the conclusion of further studies." Mr Breeze said.
Flat spots are potential hydrocarbon indicators that can demonstrate gas/oil, gas/water or oil/water interface events. Advent has identified candidate sites with this direct hydrocarbon indicator feature. A review is underway of potential locations on the northern end of the main structural trend containing the Baleen and Fish prospects.
Advent believes the new data proves the offshore Sydney Basin to be a petroleum basin with excellent potential for the discovery of gas and oil. Advent's work to date has confirmed hydrocarbon generation and migration in the offshore Sydney Basin.