Developing Vital Energy Resources
We’ve been a part of Australia’s history for more than 50 years. While we are proud of our achievements to date, we are building a new legacy. Looking ahead, we’re investing in the future. Our exploration and appraisal program is an important part of that future investment.
Energy is not a luxury – it's the foundation for economic growth. And by investing in the future, we're helping to build economic prosperity both here in Australia and around the globe. Right now, we’re undertaking our biggest ever drilling campaign in Australia.
Investing in the Search for New Energy
Globally, Chevron allocated US$2 billion for 2009 and 2010 on an aggressive oil and gas exploration program. Underpinning this pursuit is the knowledge that discoveries eventually become long-term energy producers. In 2011, Chevron Australia is continuing to invest hundreds of millions of dollars annually into exploration and appraisal activities offshore north Western Australia. This region is recognised as one of the most prolific areas for gas resources in the world and is a key exploration focus area for Chevron, along with the Gulf of Mexico, offshore western Africa and the U.S. Gulf of Thailand.
Asia-Pacific is Rich with Opportunities
As we aspire to build an Asia-Pacific gas business here in Australia, we will continue to expand our already substantial holdings. We hold the largest natural gas resource position in Australia in the prized offshore North West Shelf region. Our operated interest spans more than 47,000 square kilometres of acreage and our non-operated interests across more than 16,000 square kilometers - including our 17 percent participation in the North West Shelf Venture.
Our campaign involves deepwater semi-submersible drilling in the Greater Gorgon Area, Exmouth Plateau and the Wheatstone area.
A History of Success
Our latest natural gas find, Acme-1, represents one of 10 discoveries in 12 months offshore Western Australia.
In terms of net gas pay, Acme-1 is one of our most significant natural gas discoveries in Australia.
We attribute our on-going success to a combination of significant exploration funding, the quality of our drilling program and a commitment to technical excellence and safe operations.
Technical Excellence
In May 2011, Chevron Australia took delivery of the Atwood Osprey drill rig. The rig is a sixth generation ultra-deepwater semi-submersible rig able to conventionally moor in up to 2,438m (8,000 feet of water) and accommodate up to 200 people.
It is a purpose-built rig, which underpins Chevron Australia’s long-term commitment to find, appraise and develop Australian gas resources for domestic and international markets. The rig is involved in drilling exploration wells as well as drilling development wells for the Gorgon Project. The development drilling program scheduled for 2011 and 2012 represents the most significant investments Chevron has made in development drilling activities offshore Western Australia.
The Atwood Eagle, another rig contracted to Chevron Australia for the current drilling program, is a semi submersible rig with a maximum water depth of 5,000 feet and a drilling depth of 25,000 feet. Successful discoveries would be linked to facilities already operating or being planned – in turn providing substantial benefits to Australia.
Gorgon
In 2009 and 2010, the extensive drilling program contained several commitment exploration wells within various permits in the Greater Gorgon area. The work to prepare for this program involved extensive seismic processing and interpretation, geological modelling and detailed well planning.
For Chevron Australia, these gas finds represent long-term activity undertaken to mature exploration prospects via a mixture of desk-top studies and acquisition and analysis of seismic data. And while the gas finds in the Greater Gorgon acreage support the company’s long-term growth plans for Gorgon, our drilling successes underpin Chevron’s plan to build an internationally competitive gas business to supply energy to Australia and the Asia Pacific.
Wheatstone
In 2009 and 2010, work continued to focus on appraisal and resource maturation of the Wheatstone and Iago fields.
The 2008-09 appraisal program (seven wells and two well tests) successfully acquired data and information to consolidate resource estimates to support the decision to enter the front-end engineering and design (FEED) phase in 2009.
Exmouth Plateau
In the Exmouth Plateau, Chevron (as Operator) and Shell Development (Australia) Pty Ltd hold six frontier permits: WA-364-P, WA-365-P, WA-366-P, WA-367-P, WA-383-P and WA-439-P.
During 2009, the focus of exploration activity was the drilling of two exploration wells in WA-365-P to satisfy the year 3 work program commitment. In 2010, the Brederode-1 discovery was made in WA-364-P and further drilling is planned in WA-439-P with the Vos-1 commitment well.
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