The Santos Narrabri Project (the project) covers an area of approximately 98,000 hectares in the Pilliga State forest and private land. CSG wells will be spaced approximately 750-1000 meters apart and several lateral wells will be drilled from the same well pad.
The project life is said to be approximately 25 years and includes both exploration and appraisal activities (i.e. coreholes, chipholes, pilot wells and seismic surveys) and production activity (i.e. production wells, gas and water gathering systems, compression stations, water management, treatment and beneficial reuse facilities and supporting infrastructure such as roads, communication lines).
The majority of the proposed development is located within the Pilliga State Forrest which is an agglomeration of forested area in excess of 50,000 ha and comprising State Forest and privately managed land. The remainder of the development (approximately 30%) is located on agricultural land.
As part of the approvals process, Santos needs to prepare and submit an environmental impact statement (EIS) to the State Government. In accordance with the terms of an agreement signed by Deputy Premier Andrew Stoner and Santos’ vice-president, Santos was due to lodge the EIS for the project by 30 June 2014. However, this did not occur and, as at the date of writing this newsletter, the EIS had still not been released.
Subject to obtaining all the required approvals, construction is expected to commence in mid-2015 with first gas scheduled for late 2017. Wells will be progressively drilled from mid-2015 over the life of the development.
Written by Shine Lawyers. Last modified: August 18, 2014.