The Palm Valley field is in one permit over a 100 kilometres west of Alice Springs in Australia’s Northern Territory. Gas is produced at low pressure and transported via flow lines to a production facility where it is compressed and dehydrated. The gas is then supplied to the transmission pipeline and sold in the Northern Territory and east coast gas market.


 Gas was discovered at the Palm Valley 1 well in 1965 with the gas primarily reservoired in an extensive fracture system in the Lower Stairway Sandstone, Horn Valley Siltstone and Pacoota Sandstones at depths from 1,800 to 2,200 m. The anticlinal structure is approximately 29 kilometres long and 14 kilometres wide.


The field comprises four gas producers with one well used to re-inject water. Five wells are used for pressure monitoring. Palm Valley 13 (PV13) was commissioned in May 2019 after the Northern Gas Pipeline began commercial operation and provided access to the east coast. PV13 produced at about 7 terajoules per day until mid-2020, bringing Palm Valley’s capacity to a peak of 13 TJ/d. Aggregate field production in 2021 was approximately 9 TJ/d.

Participating Interests post-acquisition*

OL3 Production Licence, Amadeus Basin. New Zealand Oil & Gas 35%, Cue 15%, Central Petroleum 50% (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.

Palm Valley resources and reserves

Palm Valley resources and reserves
 Net equity  Net 2P Total Reserves mmboe  Net 2C Contingent Resources mmboe Net 2U unrisked prospective resources mmboe
50%  2.4 1.1 6.1
Palm Valley Net 1P   
 Net equity    Gas PJ     Oil mmstb  Equivalent mmboe
50%  12.9  -  2.1


Palm Valley Net 2P
 Net equity    Gas PJ     Oil mmstb  Equivalent mmboe
 50%  14.4 -  2.4
Palm Valley Net 3P
 Net equity    Gas PJ     Oil mmstb  Equivalent mmboe
 50% 17.3 - 2.8
Palm Valley contingent resources. Net 2C  
 Net equity Gas PJ  Equivalent mmboe
 50%  6.9 1.1


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