Jemena and Tamboran sign agreement

Tamboran Resources and Jemena have signed a binding memorandum of understanding (MOU) to enable Tamboran to contract approximately 100 terajoules (TJ) per day of firm capacity through the Northern Gas Pipeline (NGP), subject to applying NGP access principles, under a long-term gas transportation agreement.

The long-term transportation access agreement with Jemena will support the sanctioning of the proposed Maverick Pilot Development, planned for the end of the 2023 calendar year.

Tamboran Resources managing director and CEO Joel Riddle said it’s strategically important for Tamboran to secure access to the Jemena-owned NGP, as it’s an important piece of infrastructure and currently the only gas pipeline route connecting the NT to Australia’s East Coast gas market.

Over the calendar years of 2022 and 2023, Tamboran plans to drill three horizontal wells within EP 136.

“If the planned three well drilling program within our EP 136 permit is successful, we expect to book approximately 1 TCF of 2C contingent gas resources, convertible to 2P gas reserves upon finalisation of a gas sales agreement, which will support Maverick Pilot Development,” said Riddle.

Tamboran is targeting initial production from the development by the end of the 2025 calendar year.

“Development of the Beetaloo Sub-basin is expected to support Australia’s energy security and drive significant economic activity within the Northern Territory. This includes potential generation of billions of dollars in royalties to the Northern Territory Government and the creation of approximately 4000 jobs in the region.”

Tamboran will shortly commence front end engineering and design (FEED) studies to progress the proposed Maverick Pilot Development.

Jemena managing director Frank Tudor confirmed Jemena will support Tamboran’s investment in the Beetaloo Basin and establish a credible path to market for new gas utilising the existing NGP.

“We have been impressed with the Tamboran operational team and their deep knowledge and experience in developing world-class shale resources and continue to believe that the NGP is the most efficient and effective way of bringing gas from the Norther Territory to Australia’s East Coast,” said Tudor.

Tamboran will commence stakeholder engagement activities for the selected pipeline route and secure NGP access agreements with Jemena, planned to be completed during the second half of the 2022 calendar year.

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