Introduction

Mereenie is the largest onshore field in North Territory. It was discovered in 1963 and commenced production in 1984. 71 wells had been drilled by 2021, with 49 wells currently online. Over its life the field has produced more than 17 million barrels of oil and condensate and more than 280 petajoules of natural gas.

The plant has a capacity of 54 terajoules per day of gas, with associated condensate sales.

There are two production facilities with liquids handling and truck loading bays. Oil and condensate are trucked to Port Bonython for storage prior to export by tanker; normally to refineries in Singapore. Gas associated from the oil production is sold to MacArthur River Mine, APA Reticulation in the Northern Territory and AGL in the east coast gas market.

Geology

The hydrocarbon accumulation is contained in an elongate four-way dip anticline. Reservoirs comprise a series of interbedded sandstones of the Pacoota Formation. More than twenty separate conventional reservoir sands have been identified and correlated across the field, with typical individual net sand thicknesses of less than 5 metres. The Mereenie field has a gross hydrocarbon interval of more than 800 metres, with a gas cap and an oil rim.

Production

In 2019, the Northern Gas Pipeline began commercial operation, providing access to east coast gas markets. In response, gas rates from Mereenie nearly tripled to approximately 16 PJ in 2019.

Participating Interests post-acquisition*

OL4 & OL5 Production Licences, Amadeus Basin.

  • New Zealand Oil & Gas 17.5%,
  • Cue 7.5%,**
  • Central Petroleum 25% (Operator) *

On 24 June 2021, New Zealand Oil & Gas shareholders voted to approve the transaction. The acquisition remains subject to certain other conditions, expected to be satisfied in August. At completion, the effective economic date of the transaction is 1 July 2020.

 

 

 

Mereenie resources and reserves*

   Mereenie resources and reserves*
 Net equity  Net 2P Total Reserves mmboe  Net 2C Contingent Resources mmboe
 25%  9.2  7.5
Mereenie Net 1P
   Developed    Undeveloped      Total
 Net equity    Gas PJ     Oil mmstb  Equivalent mmboe  Gas PJ      Oil mmstb Equivalent mmboe  Gas PJ    Oil mmstb   Equivalent mmboe
 25%  24.6  0.3  4.3  16.2  0.1  2.8  40.9  0.4  7.1

 

Mereenie Net 2P     
   Developed    Undeveloped      Total
 Net equity    Gas PJ     Oil mmstb  Equivalent mmboe  Gas PJ      Oil mmstb Equivalent mmboe  Gas PJ    Oil mmstb   Equivalent mmboe
 25%  37.9  0.4  6.6 15.5  0.1  2.6  53.4  0.5  9.2
Mereenie Net 3P
   Developed    Undeveloped      Total
 Net equity    Gas PJ     Oil mmstb  Equivalent mmboe  Gas PJ      Oil mmstb Equivalent mmboe  Gas PJ    Oil mmstb   Equivalent mmboe
 25%  40.3  0.5 7.1  28.0  0.1  4.7  68.3  0.6  11.8
 Mereenie contingent resources. Net 2C
 Net equity Gas PJ
 Oil  Equivalent mmboe
 25%  45.6  0.1 7.5

* Includes 100% of Cue’s share. See Reserves