In a bid to boost gas supply and support domestic energy needs, Queensland has greenlit four new gas projects in the Bowen Basin, backed by a $21 million New Frontier Gas Exploration Program.
The funding, awarded to Comet Ridge, Denison Gas, QPM Energy, and State Gas Limited, aims to accelerate the development of new gas reserves in the region.
Comet Ridge, one of the grant recipients, plans to utilise its $5 million funding to drill and test a new pilot scheme, including a vertical production well and a lateral (horizontal) well.
This initiative, similar to the successful Mahalo North pilot, will incorporate enhanced steering technology to improve lateral well length and design, benefitting the Mahalo Gas Hub and the broader Bowen Basin.
Since 2017, Queensland has dedicated over 20,000 square kilometres of land exclusively for domestic gas supply.
In the 2022–23 financial year alone, the state supplied over 27 petajoules of gas to southern states, sufficient to power nearly 520,000 homes.
This commitment to gas supply aligns with Queensland’s broader energy goals, including a target of 80 per cent renewable energy by 2035.
Resources and Critical Minerals Minister Scott Stewart emphasised the importance of these investments in maintaining a reliable gas supply for Australian homes and businesses.
He highlighted Queensland’s leadership in gas policy and commitment to supporting both the gas and renewable energy sectors.
Comet Ridge Managing Director Tor McCaul expressed his company’s enthusiasm for the grant, citing its strategic importance in the Mahalo Gas Hub area.
He emphasised that the steering technology planned for the Mahalo East lateral well would optimise well length and design, reducing surface impact and cost while increasing efficiency.
“The Mahalo East block is 100 per cent held by Comet Ridge and a successful outcome would further demonstrate the significant scale and strategic importance of the Mahalo Gas Hub in a tight east coast gas market.
“The steering technology we plan to utilise for the Mahalo East lateral (horizontal) well will aid in the assessment of the optimum well length and design that can be applied across our entire Mahalo Gas Hub,” said McCaul.
The grants and projects in the Bowen Basin signify Queensland’s proactive approach to securing its energy future, balancing gas supply with renewable energy goals to meet the state’s energy needs.