Energy Market Operator flags shortfall in domestic gas supply with GLL paying close attention

• The Federal Government’s Australian Energy Market Operator flagged a shortfall in domestic gas supply.
• As a result, there has been increased attention on new supply options such as the Glenaras Gas Project.

Galilee acquired the project taking into consideration the looming gas supply problem. The Federal Government’s Australian Energy Market Operator flagged a shortfall in domestic gas supply.

As a result, there has been increased attention on new supply options such as the Glenaras Gas Project. There is now strong support from the Government to assist with unlocking the Project and connect to the market.

Galilee Energy Limited, a Brisbane-based oil and gas exploration company, has reported drilling updates at its Glenaras multi-lateral pilot program, located in the Galilee Basin.

Galilee gained full ownership of the Glenaras Gas Project in late 2015. Glenaras has one of the largest remaining uncontracted gas resources, on the east coast of Australia, with an independently derived and certified Contingent Resource within the Betts Creek coals. Galilee’s primary focus is on converting these Contingent Resources to Reserves.

Earlier this year, Galilee completed drilling operations at the Glenaras 10L well followed by the Glenaras 12L well. Very recently, Galilee has successfully completed Glenaras 15L, with approximately 295 metres of net coal intersected in the well through the R3 seam primary target. This successful drilling result significantly progresses the drilling program.

“Once again my team have executed the drilling safely, on schedule and within budget. We have now successfully executed two of the three wells in the drilling programme which represents major progress for the Pilot and for Galilee more broadly,” Managing Director, Peter Lansom said.

“The coal appears to be of excellent quality with cuttings showing significant cleat development and high vitrinite levels,” he said.

The pilot drilling program is expected to take approximately six weeks and the goal is for the new lateral wells to be on production by July 2019. Further operational updates on the program will be provide accordingly.