The Coal Seam Gas component of the East Coast Gas Outlook report is also available as a separate 50-page report, which provides a comprehensive assessment of CSG performance to date, together with the production outlook to 2036. It answers the big questions about Queensland’s CSG reserves.
Queensland’s three CSG-to-LNG projects were a global first and, three years after commissioning, remain the only LNG projects anywhere in the world backed by Coal Seam Gas.
The quality of the projects’ CSG reserves underpins a total of more than $60 billion in investment and is crucial in fulfilling export gas sales commitments. Queensland CSG producers are also under increasing pressure to supply more gas to the domestic market to compensate for a lack of gas development in southern states and the very substantial drop in forecast production from Bass Strait.
With so much riding on CSG reserves, EnergyQuest took the initiative in 2016 to undertake a permit-by-permit, well-by-well analysis, based on production results and all available data on the nascent industry. Our 2016 report raised serious concerns, which have since been validated by net 2P write-downs of almost 3,000 PJ.
With the benefit of additional two years of performance data EnergyQuest has again conducted its forensic, ground-up analysis of the health of Queensland’s CSG reserves and assessed the outlook for the industry until 2036.
Our independent report contains essential insights by sub-classifying Proved and Probable (2P) reserves into “most certain”, “less certain” and “least certain” in terms of their likelihood to support commercial production. This methodology provides a much clearer picture than relying on 2P alone.
The 2018 report finds some positive developments for the CSG-to-LNG industry over the past two years, but serious concerns remain.
The report is complete and available immediately. Download the brochure for further details, including the Table of Contents.