An emerging shale gas play in the Northern Territory

As attention to unconventional oil and gas resources increases, historical oil and gas flows in shale reservoirs across the world are being given renewed attention. Such is the case of the shaly and carbonate deposits of the McArthur and Nathan groups in the Northern Territory. The Batten Trough is a Proterozoic depocenter with potential for a shale gas play in the Barney Creek Shale and potential for conventional gas accumulations in the underlying Coxco Dolomite. This Barney Creek Shale gas play is evidenced by a number of mineral exploration drill holes that encountered live oil and gas shows within the McArthur Group. The most prominent was a mineral exploration hole drilled at the Glyde River prospect by Amoco in 1979. This well reportedly flowed gas and condensates at 140 psi for six months before it was sealed at the surface, which certainly shows permeability values greater than micro-darcies reported for many North American shale plays; thus, an exploration program of this prospective area has been planned by Armour Energy in EP 171 on several targets adjacent to the Emu Fault Zone near both Glyde and Caranbirini, along with other anticline related targets adjacent to the Abner Range. This extended abstract details how the targets were identified, the plan for data acquisition (e.g. seismic, drilling, logging and testing), and the proposed completion strategy to test this highly prospective target.