Opportunities for conventional and unconventional discoveries in Australia’s Northern Territory

1. Opportunities for conventional and unconventional discoveries in Australia’s Northern Territory Dorothy Close, Director Regional Geoscience, NT Geological Survey

2. Australia’s Northern Territory • Australia’s fastest growing economy • Growing resources sector • Ideally located for Asian markets • Pro-development government

3. Australia’s Northern Territory • North-south infrastructure corridor including gas pipeline, rail and road • Modern port and LNG processing facilities in Darwin • Vast, prospective underexplored area – numerous frontier onshore basins with new discoveries being made • High unconventional gas and oil potential

4. Major developing LNG hub • Existing Darwin LNG facility (Conoco-Phillips) from BayuUndan field – capacity for expansion • A$34 billion Ichthys LNG project under construction in Darwin (Inpex) • 883 km pipeline from Ichthys field to Darwin Darwin LNG Inpex LNG

5. Increased tenure uptake • Rapidly expanding exploration in onshore basins • Rapid increase in tenure coverage in previous 4 years to >90% of onshore area • Opportunities for farm-in and joint venture arrangements with junior to mid-tier companies • NT moving to a competitive process for future acreage release

6. Major petroleum investors • Santos Ltd / Magellan Petroleum (NT) Pty Ltd • Oil and Gas production – Palm Valley / Mereenie • Pangaea Resources • Seismic – McArthur Basin/Beetaloo Sub-basin • Falcon Oil and Gas Australia Pty Ltd • Exploration well & seismic – Beetaloo Sub-basin • Statoil - PetroFrontier Pty Ltd • Exploration well & seismic – Georgina Basin • Santos Ltd - Central Petroleum Limited • Exploration well & seismic – Amadeus Basin • Armour Energy Pty Ltd • Exploration wells and seismic – McArthur Basin • Santos Ltd – Tamboran Resources Limited • Seismic – McArthur Basin • Beach Energy Ltd – Territory Oil and Gas Geophysics and exploration wells – Bonaparte Basin

7. Prospective onshore basins • McArthur Basin (incl. Beetaloo Sub-basin) • Palaeo-Mesoproterozoic • undeveloped gas and oil basin • 180,000 km2 outcropping, ≤ 350,000 km2 subsurface extent • multiple proven petroleum systems and prospective shales • Wiso Basin • Neoprot – Palaeozoic • Unexplored correlative of Georgina Basin • Georgina Basin • Neoprot – Palaeozoic • High unconventional oil and gas potential from Cambrian shales

8. Prospective onshore basins • Bonaparte Basin • Palaeozoic – Mesozoic • Onshore extension of major producing basin offshore in Timor Sea • Pedirka-Eromanga Basin • Mesozoic stacked basins • Includes correlatives of Cooper Basin in SA/Qld • Amadeus Basin • Neoprot- Palaeozoic • gas and oil production • multiple petroleum systems • frontier opportunities away from producing fields

9. Onshore exploration 2012/13 McArthur Basin • Batten Fault Zone: Armour Energy • 3 wells in 2012, 2 wells in 2013 • flows equivalent to 3.3 million standard cubic feet of gas per day from Glyde-1 well (2012) • Live oil in shales in Lamont Pass-3 well (2013) • Beetaloo Sub-basin (east) : Santos • 500 line km of 2D seismic in 2013 • Beetaloo Sub-basin: Falcon Oil and Gas • 3490 line km of 2D seismic in 2012/13 under previous farm-in with Hess • Beetaloo Sub-basin (west) : Pangaea Resources • Previously unexplored area • 1400 line km of 2D seismic in 2013

10. Onshore exploration 2012/13 Amadeus and Georgina basins • Georgina Basin: Petrofrontier-Statoil • 3 horizontal wells drilled in 2012 • positive oil shows but hampered by technical issues • seismic acquired in 2013 • five vertical wells planned in 2014 • Surprise: Central Petroleum • western Amadeus Basin • exploration well flowed 200-400 barrels per day of light sweet crude • first major onshore oil discovery in NT for 50 years • planning production in 2014 • Amadeus Basin: Santos-Central Petroleum • 1587 km of regional 2D seismic • exploration well in progress targeting Neoproterozoic petroleum system Surprise

11. Targeted new geoscience • Increased resolution of regional gravity data in producing and frontier basins • Complete aeromagnetic and radiometric coverage • Unconventional hydrocarbon assessment across major basins • Targeted studies within the Amadeus and McArthur basins including: • Stratigraphic revision and regional correlations • Basin architecture studies and construction of 3D models

12. McArthur Basin new geoscience • Interpreted subsurface extents of prospective McArthur Basin and Beetaloo Sub-basin stratigraphy • Interpretation of basin architecture using upgraded geophysical datasets • Generation of 3D model • Unconventional assessment of multiple prospective stratigraphic intervals • Hyperspectral scanning of all retained drillcore • Ongoing regional scale gravity acquisition

13. Australia’s Northern Territory • Major emerging onshore petroleum industry • Outstanding opportunities for conventional and unconventional targets in multiple frontier basins • Located close to Asia with existing LNG hub • High quality new geoscience to support petroleum exploration

14. Further Information Energy Titles and Operations administration and regulation Petroleum TitlesPetroleum Operations Phone: +61 8 8999 5396 Phone: +61 8 8999 6350 Fax: +61 8 8999 5151 Fax: +61 8 8999 5151 Email: petroleum.operations@nt.gov.au Northern Territory Geological Survey InfoCentre Phone: +61 8 8999 6443 Email: geoscience.info@nt.gov.au Fax: +61 8 8999 6824 Please visit us at the booth