Reids Dome – Queensland (19.2% interest)

The Reids Dome Tenement covers an area of 181 square kilometres and is located over a large surface anticlinal feature on the western margin of the Denison Trough in the Permian – Triassic Bowen Basin in south-east Queensland.  The Denison Trough contains a number of producing gas fields which are connected by pipeline to Brisbane and to Gladstone. PL 231 is located approximately 60km west of this pipeline.

Fifteen exploration wells have been drilled within the area of PL 231 over the past 55 years, seven of which flowed meaningful flows of gas to surface. All gas flows have been from the shallow Cattle Creek Formation at around 400m in depth. In addition, significant shows of gas have been encountered from the deeper Reids Dome Beds below 1,000m. Shallow sands have been tested with flow rates up to 2.8MMcfgpd.

The Reids Dome Gas Field is situated within Reids Dome Tenement and based on initial reservoir studies, a reserve of up to 1 billion cubic feet of gas is indicated for the three wells drilled on the Reids Dome Gas Field prior to November 1994.

Establishing Contingent Resources and Proven Reserves for these accumulations will require further drilling for both reservoir horizons. No definitive calculation of gas reserves is possible on present data, but potential resources have been estimated at up to 30bcf for the Cattle Creek Formation and as much as 300 bcf for the Reids Dome Beds. It must be emphasised, however, that this estimate is highly conjectural.

If sufficient reserves can be established to justify the building of a spur pipeline to the existing system, then profitable field developments should be possible.

Queensland gas prices have increased dramatically in recent years and there is a high demand for domestic gas. Technical assessment of the project is underway and Triangle is working with a partner to expedite the realisation of value from the Reids Dome asset.