• Recent discovery at Lockyer Deep-1 expands Perth Basin sweet spot
• Warrego’s analysis indicates that gas generated from the mature north Dandaragan Trough (kitchen) has migrated north and is likely to have filled structures in EP469 before spilling to the north and west towards Lockyer Deep and Waitsia
• Augurs well for WE-3 appraisal and future exploration within the EP469 permit area
• Planned 3D seismic survey over majority of permit in FY22 will provide valuable data on multiple leads in EP469

Warrego Energy advises that the recent gas discovery at Lockyer Deep-1 may have positive implications for multiple exploration targets within EP469.

The Lockyer Deep-1 gas discovery has expanded the Perth Basin sweet spot by adding Lockyer Deep to Waitsia, Beharra Springs Deep and West Erregulla as significant deep onshore Permian gas fields.

Warrego’s analysis of the data relating to the four gas fields indicates that:

• Gas generated from the mature north Dandaragan Trough (kitchen) has migrated through the EP469 permit area;
• It has likely filled structures in EP469 (West Erregulla, Erregulla) before spilling to the north and west and towards Lockyer Deep and Waitsia.

This migration pattern is a very positive indicator for future exploration and appraisal within EP469, particularly the upcoming appraisal drilling at WE-3 in the Northern Area of the West Erregulla gas field which is scheduled for the first half of 2022. The WE-3 well was temporarily suspended in January 2021 after encountering significantly overpressured gas in the Carynginia formation.

Other highly prospective structures have also been identified within EP469. While 2D seismic exists over the block, Warrego’s view is that 3D seismic will provide a superior outcome when evaluating and high grading prospects for future drilling. Thus far, only one-third of the block has been surveyed with 3D seismic. The remaining two-thirds of EP469, which encompasses at least three structures, will be surveyed in the proposed Natta 3D seismic in FY22.

Warrego’s CEO Australia, David Biggs, said:
“The news of another significant gas discovery in the northern Perth Basin at Lockyer Deep-1 is welcomed by Warrego.

“The additional data this discovery provides has positive implications for our planned appraisal and exploration activity in EP469, specifically the drilling of WE-3 and the upcoming 3D seismic survey that will greatly enhance our understanding of multiple potential structures within the block.

“Should discoveries be made at any of these exploration targets, these near-field structures could be tied into the proposed Phase 2 development at West Erregulla relatively easily.”

KeyFacts Energy: Warrego Energy Australia country profile