News Article | May 19, 2017
Origin Energy Ltd., Sydney, has completed its program of shedding noncore assets with the sale of the Darling Downs natural gas pipeline in southeast Queensland to Jemena Gas Pipelines Holdings for $392 million (Aus.).
Lohr S.C.,Macquarie University |
Baruch E.T.,University of Adelaide |
Baruch E.T.,Origin Energy Ltd |
Hall P.A.,University of Adelaide |
Kennedy M.J.,Macquarie University
Organic Geochemistry | Year: 2015
Organic matter (OM)-hosted pores, rather than mineral-hosted pores, are considered to be the dominant contributors to total porosity and hydrocarbon storage in many organic-rich unconventional reservoirs. OM-hosted pores are thought to develop during thermal maturation as generated hydrocarbons are expelled from the kerogen, leaving behind pores. However, prediction of OM-hosted pore development is hampered by the lack of a simple relationship between thermal maturity and OM-hosted porosity, with the controls on pore distribution, size and morphology remaining poorly known. In particular, the extent to which thermally immature OM hosts primary pores and the influence that these have on subsequent organic pore development remains poorly understood. Here we employ Ar ion beam polishing and high resolution scanning electron microscopy to show that primary OM-hosted pores are common in thermally immature shales of varying ages and depositional settings, where they occur in both structured and amorphous OM. We further find, utilising a thermal maturity gradient in the Devonian-Mississippian Woodford Shale, that although OM-hosted pores are common in the least mature (<. 0.4. %Ro) samples imaged they are not evident in examples that are mature (0.5-1.1. %Ro). However, OM-hosted pores similar to those observed in the least mature samples are present in gas-mature samples (≥. 1.5. %Ro), where they are classified as secondary pores. Solvent extraction to remove bitumen from oil-mature samples results in an abundance of pores in samples where previously none were evident, which suggests that the absence of primary OM-hosted pores in untreated oil-mature samples is due to infilling of pores by generated and retained bitumen. The similar size and morphology of more complex secondary pores and primary pores is consistent with re-emergence of primary pores in gas-mature structured organic matter, following expulsion of infilling bitumen. Inheritance of pore structure is less evident in amorphous OM types, where secondary pores exhibit a distinctive spherical morphology that has previously been attributed to a gas bubble origin within bitumen. However, similar spherical pore morphologies are evident in immature amorphous OM, arguing against a maturation related origin, so that re-emergence of primary pores cannot be ruled out. Our findings are also relevant to models of hydrocarbon storage and migration. Given that bitumen filled organic pores are likely open in regards to hydrocarbon migration, the importance of organic pore networks for primary migration in the oil window may have been underestimated - well developed organic pore networks contributing to permeability and storage capacity are otherwise assumed to be a feature characteristic of gas-mature shale reservoirs. © 2015 The Authors.
News Article | November 9, 2015
Australia, the sunniest continent, is luring solar battery suppliers from Tesla Motors Inc. to LG Corp. as the global roll out of the technology for home and business power storage gathers pace. At stake is a domestic market that could be worth A$24 billion ($18 billion), according to Morgan Stanley. Australia leads the world in putting solar panels on roofs, and by 2040, about one in two homes are forecast to rely on sun power. Elon Musk’s Tesla plans early next year to bring its new batteries to Australia, which will join Germany as its first two markets outside the U.S. LG Chem will offer new technology to Australian homes in August, while Panasonic Corp. plans to begin selling its batteries in the country in October. “Australia has all the criteria that you would look for -- high sunshine, high energy prices and low financing costs,” Michael Parker, an analyst at Sanford C. Bernstein & Co. in Hong Kong, said by phone. “It’s a good test market.” With solar power set to draw $3.7 trillion in investment through 2040, according to Bloomberg New Energy Finance, interest in power storage is surging. LG Chem wants to capture 30 percent of the Australian market, the South Korean company said in an e-mail response to questions. The industry could could grow 15-fold in the next two years to more than 30,000 storage systems, it said. Storage Units Samsung SDI Co., meanwhile, is testing its storage units with Australian retailer Origin Energy Ltd., which expects to offer the products to customers later this year, and AU Optronics Corp. of Taiwan is working with AGL Energy Ltd. Government subsidies and falling prices fueled a wave of growth in solar panel installations in Australia, and the country is set to see further expansion. About 6 million, or half of Australian homes, are forecast to have solar systems by 2040, according to Bloomberg New Energy Finance. “The ability to store the energy that’s generated by solar is a huge opportunity within this market,” Heath Walker, Tesla’s marketing manager in Melbourne, said by phone. In coming months, the company plans to unveil battery partnerships with utilities or solar developers in Australia, he said. Battery storage does face obstacles, though, with the cost and the size of the systems needed to maintain a reliable power source deterring some consumers, the Grattan Institute found. Falling Tariffs “Everybody says it’s an emerging market, but I’m not sure many people have bought batteries yet,” Origin’s Managing Director Grant King said in an interview. “Will we see a wholesale migration of customers off the grid because of batteries? My answer is no.” Declining battery costs, surging electricity prices and falling tariffs for feeding excess power to the grid could drive storage, the Australian Energy Market Operator found. Battery storage will allow homes with solar panels to store excess electricity for later use, reducing peak power consumption and potentially energy costs, Panasonic said. “Storage is coming,” Panasonic’s local Managing Director Paul Reid said in a June 2 interview. “There may be things that impact the speed of the roll out, but it will dramatically change the landscape of the energy sector in Australia.”
News Article | November 25, 2015
A solar panel absorbs the sun's rays at Solaray, an installer of solar power solutions in Sydney, November 24, 2015. Solaray Director Jonathan Fisk poses next to a solar panel (L) and an Enphase AC battery at the solar power installation company's Sydney facility, November 24, 2015. But Australia's political roller coaster, which has seen prime ministers dumped four times in the past three years, largely over climate policy, is hampering the battle against climate change and investment in clean energy. Prime Minister Malcolm Turnbull will face intense scrutiny at the upcoming global climate change summit in Paris for signs of a shift from the man he replaced in a September party coup, climate sceptic Tony Abbott. While some believe Turnbull can convince his conservative coalition their fossil-fuel reliant economy must change to meet emissions reduction targets at Paris and beyond, their faith is tempered by realism. "The guy leading the country and leading the Liberal Party is no longer an absolute climate sceptic but somebody who understands the principles," Nathan Dunn, Asia-Pacific managing director for green energy company Enphase Energy, told Reuters. "It will take some time for his thought process to permeate the rest of the party and the government itself, but it's the first step." Close to 200 nations are set to meet in Paris from Nov. 30-Dec. 11, hoping to forge a pact to slow man-made climate change by weaning countries off fossil fuels. Although the world's largest exporter of coal and iron ore pledged to cut emissions by 26-28 percent of 2005 levels by 2030 ahead of the Paris talks, Abbott's Direct Action plan to achieve that has been pilloried by activists and economists. Turnbull, who had been a vocal critic of Direct Action, has reason to fear abandoning it in favor of deeper reforms; in 2009 he was ousted as party leader by conservatives over support for an emissions trading scheme. In fact, the conservative National Party, half of Turnbull's ruling coalition, made support for his leadership coup contingent partly on retaining Abbott's climate policies, and he has shown no sign yet of tempting political fate. Senator Chris Back, a member of Turnbull's Liberal Party and vocal climate change sceptic, doubts there will be any change to targets Australia pledged for Paris or a shift after elections set for next year, regardless of his mandate. "One thing about Malcolm Turnbull is he's no fool," he told Reuters. "He's very happy to be in the position he's in today, and I don't think he wants to do anything to jeopardize that position." Australia has become a leader in solar storage, among the most promising recent developments in consumer green technology, with little federal government support, industry experts said. Tesla in May announced storage systems for homes, companies and utilities that could become part of a fossil-fuel-free lifestyle in which people can use rooftop solar to power homes and recharge electric car batteries. Australia has been chosen as one of the launch countries for its flagship battery product, Powerwall, which debuts in Q4 2015. Enphase's plug-and-play battery will arrive in 2016. Both companies cited high electricity prices, a sunny climate, falling solar panel costs and a phasing out of payments to consumers for selling excess power as reasons to prioritize Australia. More than 15 percent of Australia's 8.4 million households have rooftop solar technology, the world's highest per capita penetration, figures from the Energy Supply Association of Australia show. Electricity prices have soared over the past decade, while battery costs fell an average of 14 percent a year between 2007 and 2014, said Australia's independent Climate Commission. Economically, the arrival of storage technology for solar panels represents a sea change, says Bruce Mountain, director of energy consultancy CME. "It changes things on their head, essentially because it enables people to use inexpensive locally-produced energy." Solar provides 2 percent of the energy mix in Australia, the highest in the world, but a fraction of the 73 percent provided by coal. Although Enphase's Dunn is confident that high electricity prices, economies of scale and technological advances will support his business model, he would like to see some support from Turnbull and the federal government. "If the fossil fuel industry in getting A$10 billion a year to subsidize the work that they do, the big question is why would you not focus that kind of resource from a renewables perspective?" Dunn said. The country's two biggest carbon polluters, AGL Energy Ltd and Origin Energy Ltd, have shown signs they are aware of the trend, which puts at risk some of their A$22 billion ($15.6 billion) a year combined sales. Both have begun selling solar batteries, but, according to advocacy group Market Matters, only 9 percent of AGL's energy production is renewable, while Origin Energy is zero percent.
News Article | November 1, 2016
BRISBANE, Australia, Nov. 2, 2016 /PRNewswire/ -- Today, Dawney & Co issues a statement regarding AWE Limited. The full statement is as follows: Dawney & Co Pty Ltd ("we" or "us") and our associates have recently increased the combined shareholding to 675,000 shares in AWE Limited ("AWE" or "the Company"). To date, the Board has not responded to the letter that was sent on October 4. For convenience, we have re-sent its questions to AWE Limited via the designated Annual General Meeting form. In the meantime, we wish to make some additional comments about the Company for Director and shareholder consideration: Substantial shareholders Ellerston Capital and Perennial Value, both reputable, long-term value investors, have reduced their holdings this year. We draw attention to the prices at which both have sold - well below, and effectively supportive of, the Lone Star offer. This should motivate the Board to allow shareholders to vote on the Company's sale. acknowledge the Board's decision to sell assets and reduce debt. However, in doing so, they have begun a wind down process (getting smaller, perhaps irreversibly). The Company's remaining assets and plans are mostly known. Public markets tend to undervalue mature (known) assets, regardless of long-term value. Therefore, to maximise present value, AWE must be privatised or bought by a larger public company (with more capital to develop/retain assets and benefit from synergistic savings). The oil price recovery, selling assets and the Lone Star proposal have all helped AWE surge off 15 year lows, while, the forecast increases in contracted gas prices provide a solid foundation into the future. Again, these are known facts but the share price continues to linger. To us, the only appreciation catalyst is an active realisation or a debt-funded acquisition (the more risky and less favourable of the two). Origin Energy Ltd ("ORG") is seeking buyers for their WA interests held with AWE. This is an excellent opportunity to achieve a premium value for both companies and shareholders by offering potential bidders full ownership of Waitsia. Why don't AWE and ORG work together on an auction of common interests? We stand by our recommendation to seek an outright sale of the Company and ask all likeminded shareholders to contact either the Board or ourselves to escalate the process. If the Board and management are confused about the next steps to take to maximise value, we are prepared to assist them.
Kirk-Burnnand E.,Origin Energy Ltd |
Pandey V.J.,ConocoPhillips |
Flottman T.,Origin Energy Ltd |
Trubshaw R.L.,Origin Energy Ltd
Society of Petroleum Engineers - SPE Asia Pacific Unconventional Resources Conference and Exhibition | Year: 2015
Modern hydraulic fracture treatments are specifically designed to unlock reserves from particular rock types, especially in unconventional reservoirs. Progressive improvements in fracture design can be critically informed by post stimulation pressure analysis, yet this process is often overlooked. This paper documents the evolution of fracture designs by successively incorporating post-stimulation pressure analyses after major design changes that ultimately led to the design-optimization of fracture treatments in low permeability coals. The coals under context are the Walloons coal measures in Jurassic to Cretaceous aged rocks in the Surat Basin of southeast Queensland, Australia. Significant challenges are faced in stimulating the Walloons coal measures due to their thinbedded nature, that range from 0.2 to 3.0 m [0.66 to 9.8 ft] in thickness and, which are also inter-bedded with low permeability siltstones, minor sandstones and carbonaceous shales. Net coal thickness is 20 to 40 m [98.43 to 131.23 ft] in a gross sequence of 300 to 400 m [948.3 to 1,312.3 f] thickness. Reservoir complexity is further impacted by lateral continuity variations of coals, which generally have a high Poisson's ratio (<0.32). In particular where coal reservoirs display low permeability, understanding and implementing reservoir beneficial fracture treatments becomes pivotal to successful well performance. Modification of fracture designs during the fracture campaign included changing key parameters such as fluid types, pump rates, proppant loading and gel concentration. Both, the treatment and the calculated bottom-hole pressures, were evaluated using 3D fracture models, supplemented by an array of diagnostics such as surface tilt-meters, diagnostic fracture injection tests, micro-seismic monitoring and tracer logs as well as log derived stress models. The results of these diagnostics helped shape the design changes implemented throughout the campaign and has influenced designs for future trials also. Ultimately, it was observed that the treatments that were pumped using low gel loadings in conjunction with high proppant concentrations, and at relatively lower rates, resulted in better well performance. This paper presents the design and treatment evaluation process and also provides an insight into the progression of fracture design and subsequent treatments which were successful in overcoming reservoir complexities. The outlined approach can be used to refine hydraulic fracture treatment designs in similar complex reservoirs in Queensland, with worldwide applicability. Copyright 2015 Society of Petroleum Engineers.
An H.,University of Queensland |
Wei X.R.,Origin Energy Ltd |
Wang G.X.,University of Queensland |
Massarotto P.,University of Queensland |
And 3 more authors.
International Journal of Coal Geology | Year: 2015
This paper presents an experimental and numerical investigation on anisotropic permeability of coal in order to evaluate the effects of the anisotropic permeability variation on CO2 sequestration in coal and CO2-sequestration enhanced coalbed methane (CO2-ECBM) recovery from coal seams. An alternative permeability model has been developed to improve reservoir simulation for CO2 sequestration in coal and coalbed methane (CBM) recovery and provide better understanding of the CO2-ECBM process. Combined with experimental observations, the permeability model adopts a discontinuum medium approach, by which coal is treated as a discontinuum medium containing anisotropic matrixes and cleats. The permeability variations and anisotropic permeability ratios under isotropic net stresses were tested with relatively large coal samples to provide experimental information for model parameterization and validation. The model was further incorporated into a 3D coal reservoir model for reservoir simulations to investigate the impact of the anisotropic permeability of coal on coalbed methane (CBM) recovery. The simulations show good agreements with the experimental data, revealing that the developed model is superior for describing stress- and sorption-induced permeability variations in coals compared with commonly used permeability models that treat coal as isotropic media and use constant values for stress-dependent parameters. The results suggest that anisotropic permeability has significant effects on gas production and CO2 breakthrough time, implying that it is a critical parameter in determining well pattern and orientation of horizontal wells. © 2015 Elsevier B.V.
Acuna P.E.P.,Origin Energy Ltd |
Weatherstone P.,Origin Energy Ltd |
Pidgeon B.,Origin Energy Ltd
Society of Petroleum Engineers - SPE Asia Pacific Unconventional Resources Conference and Exhibition | Year: 2015
The Australia Pacific LNG Project is scheduled to come online in 2015 and consists of the extensive development of substantial coal seam gas resources across the Surat Basin. A variety of unique and complex challenges are presented when undertaking the geological and dynamic modelling and performance prediction of the laterally discontinuous and thin coal seams within the Walloons package. These challenges require a targeted approach and evolving solutions. Specific challenges that have been assessed and addressed in the characterisation and modelling workflow of the complex Walloons coal seams include: - Complex coal packages exhibiting thin coal seams with high degrees of lateral and vertical heterogeneity - Appropriate prediction of uncertainty - Coal body distribution and connectivity - Application of learning from fine scale sector modelling to larger regional coarse scale models - Significant reservoir dynamics across large distances within Surat acreage - Production performance variation over time resulting from stress impacting the matrix - Vast scale of the Surat Walloons development combined with fast-cycle decision making - Adopting appropriate and unique workflows for regions of different production maturity The developed workflow addresses coal seam gas modelling challenges both within the history matching phase and in the subsequent probabilistic forecasting. The workflow identifies uncertain reservoir properties and their expected maximum ranges based on available data and previous studies. An uncertainty analysis is conducted with statistical approaches including Tornado Chart and Latin Hypercube (LHC) to identify the most influential reservoir parameters and fine-tune their ranges in order to optimize the probabilistic history matching process. Subsequently, assisted history matching and optimisation techniques follow a stochastic algorithm of experiments to reduce the mismatch and create convergence with the production history. A number of representative, non-unique history matched models are identified which satisfy matching criteria and capture the uncertainty of the subsurface. The selected acceptable history matched models, together with forecasting parameters and their ranges, including operational variables, are used in forecasting. Random sampling of uncertainties by LHC is used with assisted history matched cases resulting in thousands of forecasts based on which P10-P50-P90 probabilistic forecasts are selected. This paper presents solutions to address uncertainty, assisted history matching and performance prediction of the Walloons coal measures for rigorous forecasting, and incorporation of learnings from localized fine scale models into larger coarse scale modelling for time efficient, regional performance prediction. Copyright 2015 Society of Petroleum Engineers.
News Article | December 6, 2016
Sydney-based Origin Energy Ltd. has announced plans to sell it’s $1.8-billion conventional upstream oil and gas assets so that it can focus on the wholesale and retail energy markets as well as its LNG business in Queensland.