Shell Resumes Palta-1 Drilling. WHL Energy Cheers (Australia)

Shell Resumes Palta-1 Drilling. WHL Energy Cheers (Australia)

Australian oil and gas company WHL Energy Ltd has welcomed media reports that drilling activities have restarted on the Palta‐1 well in offshore Western Australian permit WA‐384‐P.

The company quoted an article in The West Australian today which said that the Mobile Offshore Drilling Unit (MODU) “Noble Clyde Boudreaux”, which has been contracted to drill Palta‐1, has been successfully repaired after a problem was identified with its blow out preventer(BOP), reportedly leading to activities being halted for 54 days.

WHL Energy holds a 33.33% interest in the WA‐460‐P permit, which is located adjacent to the WA‐384‐P licence in which Palta‐1 is being drilled. The Palta-1 is operated by Shell.

Palta-1, is targeting the very large Palta prospect – estimated to contain upwards of 13.5 trillion cubic feet (tcf) of gas if hydrocarbons are in place. An estimated 2.5 tcf of the potential Palta gas is mapped to be located within the WA-460-P permit, which was awarded to a consortium of WHL Energy, Strike Energy Limited and Cottesloe Oil & Gas Pty Ltd in November 2011.

“We will continue to closely monitor activities at Palta as it potentially offers significant upside to our company and its shareholders, at no cost,”  WHL Energy Managing Director, Steve Noske, said.

Shell received Federal environmental approval for Palta-1 in July 2011 which caused outrage among environmental groups because the prospect is located near the World Heritage-listed Ningaloo Reef.

[mappress]
 April 19, 2013