Australia: Westside Reserves Climb

February 16, 2012

Australia’s WestSide Corporation announced a significant upgrade to total Proved, Probable and Possible reserves (3P), after receiving a new reserves report on the Meridian SeamGas gas fields near Moura in Queensland’s Bowen Basin.

WestSide’s total net 3P reserves have increased 96 per cent or 356 PJ to 725 PJ while 2P reserves increased 17 per cent or 37 PJ to 258 PJ and 1P reserves rose 86 per cent or 3 PJ to 6.5 PJ. The reserves were certified in accordance with SPE PRMS guidelines.

WestSide’s Chief Executive Officer Dr Julie Beeby welcomed the MHA report identifying the volume and potential value of the previously uncertified reserves. MHA were previously engaged by WestSide as certifier of reserves within the Company’s other tenements ATP 769P and ATP 688P and bring a broad perspective to their analysis by way of certification work conducted for other operators in the surrounding Meridian region.

Dr Beeby said the new MHA report provided corporate and regional consistency at Meridian and took into account all available information on all coal seams.

“This follows a review of old and new production and test data for all the seams across the region to support the upgrade,” Dr Beeby said.

“The field development plan has also been advanced to account for exploitation of the reserves across a wider area to capture the full potential of additional future gas sales.”

Dr Beeby said the 2P reserves from the main five coal seams between 200 metres and 800 metres within PL94 had been assessed and conservatively risked to arrive at the final numbers.

“There remains an upside to the current total reserve position, particularly to further increase the 2P reserves by conversion of the newly certified 3P reserves from the upper and lower seams,” Dr Beeby said.

“The recognition of 3P reserves in the newly certified upper seams, as well as in the deeper seams to a depth cut-off to 1,350 metres, provides large upside for reserves maturation and growth.”

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LNG World News Staff, February 15, 2012