Northern Petroleum Gets Shale Oil License in Otway Basin

Government of South Australia has awarded Northern Petroleum 100% of Petroleum Exploration Licence (PEL) 629 in Otway Basin covering an area of 5,800 km2 with shale oil prospectivity.

PEL 629 is also prospective for conventional oil and gas, but Northern will focus on the unconventional potential of the Late Jurassic to Early Cretaceous Casterton and Sawpit Formations, the company said. The initial programme will be detailed geochemical analysis and seismic reprocessing, combined with state of the art wireline log processing for evaluating the potential unconventional shale sequences for light oil, condensate and gas potential.

The Otway Basin is South Australia’s second most prospective onshore oil and gas province with land releases attracting competitive bids from both Australian and international petroleum explorers.

Further opportunities to acquire acreage by application elsewhere in the onshore and offshore continue to be examined aided by the presence of supportive state and federal governments and an attractive well organised system of release of seismic and well data at low costs, Northern said.