The Perth Basin is continuing to emerge as a new energy source for low-cost gas and geothermal energy resources.
This week, project operator Strike Energy commenced site works for the drilling of Walyering-5, a second gas play at the onshore Perth Basin.
Earth moving and civil equipment has been mobilised to the well location, where Strike has commenced construction of the well pad and associated infrastructure to host the drilling rig.
The rig is anticipated to arrive after completion of the Lockyer Deep-1 well, a North Perth basin venture, with drilling predicted to commence in October.
Strike owns 1,853 km2 of petroleum acreage in the Perth Basin, with joint venture partner Talon Energy earning a 45 per cent interest.
The company said the cost of drilling the Walyering-5 well will be shared by Talon and Strike for the first $9 million of proposed costs.
Any costs above this will be incurred on a pro-rata participating interest basis.
Strike Chief Executive Officer and Managing Director Stuart Nicholls said the company is excited to take its recent subsurface and drilling experience from operating in the north Perth Basin.
“Success at the Walyering-5 well has the potential for material value uplift across Strike’s large continuous acreage position,” said Mr Nicholls.
The company said the Walyering-5 well is key to recommencing development of the Walyering and Ocean Hill wet-gas resources, which stalled under previous ownership.
For more information visit the Strike Energy website.