About 4,000km² of new prospective acreage has been opened for bidding in Australia's onshore Beetaloo subbasin, as the Northern Territory (NT) government aims to attract more shale gas explorers to the remote region.
The exploration acreage release was announced to delegates at the North American Prospect Expo (NAPE) in Houston, Texas, NT energy minister Gerard Maley said on 18 February. A total of 50 full and part blocks are open for bidding until 31 July.
The subbasin already has two pilot projects under development, with first gas expected within months.
Australian gas developer Beetaloo Energy has taken a final investment decision (FID) to build the 25 TJ/d (668,000 m³/d) Carpentaria pilot project in the basin, with first gas targeted for mid-2026.
Earlier last year, Tamboran Resources' 40 TJ/d Shenandoah South pilot project also reached FID.
Tamboran is additionally working with Australian independent Santos on studies to expand Santos' operated, single-train 3.7mn t/yr Darwin LNG (DLNG) terminal, which holds permits for up to 10mn t/yr of capacity. The firm has also begun engineering studies for a proposed 6.6mn t/yr NTLNG terminal, but has not provided a recent update on the project.
Santos plans appraisal drilling
Santos has posted 1.4 trillion ft³ (39.6bn m³) of contingent (2C) resources based on results from three previously developed exploration wells, and is planning a fresh appraisal programme starting later this year.
Three wells will be drilled, fractured and stimulated over 9-12 months from July-December 2026 to produce appraisal results ahead of a FID, Santos said.
Santos plans to deploy the latest US shale technologies and remains optimistic about meeting its cost of supply target for Beetaloo volumes. Santos aims to book a total of 5 trillion ft³ of 2C resources following appraisal, chief executive Kevin Gallagher said on 18 February.
"We've looked at that cost of supply to both [the 7.8mn t/yr] Gladstone LNG (GLNG) and to DLNG, we've started work with governments on pipeline approval processes," Gallagher said.
The earliest possible FID would be in late 2028, Gallagher added, with early 2029 more likely — followed by a three-to-four-year development phase to build a pipeline with sufficient capacity to feed either DLNG or GLNG.
Supportive centre-right governments in both the NT and neighbouring Queensland state, where GLNG is located, have backed further gas production and are regarded as supportive jurisdictions for the upstream sector.
The NT's shale gas reserves total about 257,000PJ (6.87 trillion m³), according to 2018 estimates from Australian government agency Geoscience Australia, with around 70pc located within the Beetaloo.
