CTP 3.92% 5.3¢ central petroleum limited

This just out in AFR at...

  1. 725 Posts.
    lightbulb Created with Sketch. 233
    This just out in AFR at http://www.copyright link/business/...za-worth-billions-says-report-20150825-gj6xrx ; paywall as usual, text below…

    NT sits on gas bonanza worth billions, says report
    by Angela Macdonald-Smith

    The Northern Territory is sitting on a treasure trove of unconventional gas that could deliver thousands of jobs and almost $1 billion of government revenue if costs can be reduced to make development economic, a new report has found.

    The analysis by Deloitte Access Economics, to be released on Wednesday, puts the potential increase in the NT's gross state product at a cumulative $22.4 billion over the 2020-40 period in the "aspirational" scenario that sees shale and tight gas developed both for LNG and for supply to east-coast markets.

    Even in the "success" scenario, which envisages a slightly more modest development, the increase to the NT's gross state product is put at $17.2 billion over the 20 years compared with a scenario where the gas stays in the ground.

    The NT could hold a massive 234 trillion cubic feet of shale gas, says the territory's Geological Survey, an estimate that has lured several international players working to test acreage by drilling. Last week, junior explorer Armour Energy revealed an initial deal with American Energy Partners, the company of United States shale pioneer Aubrey McClendon, for a $US100 million ($139 million) exploration venture that would see AEP take a 75 per cent stake in acreage in the NT's McArthur Basin.

    "While still in its very early stages, shale gas could underpin a new wave of investment delivering jobs and economic opportunities for decades to come," said Malcolm Roberts, the new chief executive of the Australian Petroleum Production & Exploration Association, which commissioned the Deloitte report.

    Mr Roberts said shale could be "a game-changer" for future NT governments by delivering a new source of revenue to better fund services and infrastructure development. But he said a "stable, secure and competitive" regulatory framework was needed to encourage investment.

    Gas under pressure

    The collapse in oil prices has put all oil and gas developments in Australia and elsewhere under pressure, and looks set to push out the prospects for the local shale industry. Earlier this year, US energy giant Chevron walked away from a major unconventional exploration program with Beach Energy in the Cooper Basin in central Australia, a region that is seen as offering some advantages over the NT because of its existing petroleum plants and pipelines.

    Deloitte said in the report that while shale and tight gas resources are generally more costly to extract than conventional gas, the vast scale of the resource still pointed to the potential for rapid development.

    The release of the report follows findings released by an NT inquiry into hydraulic fracturing in March that the environmental risks involved with the controversial process could be managed effectively. But the industry is still facing opposition from environmental groups and some indigenous groups concerned about potential harm to water and land resources.

    Deloitte estimates 6321 long-term jobs could be created in its "aspirational" scenario for unconventional gas, which assumes the development of three LNG expansion trains in the NT to export shale and tight gas, and up to 84 petajoules a year of production for east-coast markets, that would be supplied through a proposed new pipeline between the NT and east-coast gas grids. Supply to the NT market would rise to as high as 79 PJ a year.

    The "success" scenario, which would create almost 4200 jobs, assumes two brownfield LNG trains, up to 56 PJ a year of gas to the east coast and up to 30 PJ into the NT market.
 
watchlist Created with Sketch. Add CTP (ASX) to my watchlist
(20min delay)
Last
5.3¢
Change
0.002(3.92%)
Mkt cap ! $39.22M
Open High Low Value Volume
5.2¢ 5.3¢ 5.2¢ $31.66K 604.5K

Buyers (Bids)

No. Vol. Price($)
1 86808 5.2¢
 

Sellers (Offers)

Price($) Vol. No.
5.3¢ 23813 1
View Market Depth
Last trade - 16.10pm 28/03/2024 (20 minute delay) ?
Last
5.3¢
  Change
0.002 ( 3.92 %)
Open High Low Volume
5.2¢ 5.3¢ 5.2¢ 101711
Last updated 15.33pm 28/03/2024 ?
CTP (ASX) Chart
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.