Santos Limited · ASX:STO
Santos — Technical Presentation (March 2010)
16 slides from Santos's technical presentation, Mar 24, 2010
Slide 1: Gunnedah Basin – Geology and pilot testing
Gunnedah Basin – Geology and pilot testing Paul Lane – Team Leader, Gunnedah Appraisal Spring Ridge & Gunnedah 1 23 & 24 March 2010
Slide 2: What is Coal Seam Gas?
What is Coal Seam Gas? Definition Methane (natural gas) that exists within coal Target CSG zones are 200-1,000 metres sub surface Key Facts Australian CSG is typically 98% methane, <2% inert gas, no liquids, 1000 btu/scf heating value Production process is simply dehydration and compression 2
Slide 3: CSG – How is it produced?
CSG – How is it produced? Desorption from Diffusion Flow through internal coal through fracture/cleat surfaces coal matrix network 3
Slide 4: CSG – How is it produced
CSG – How is it produced COAL Pore size (10-9m) - 100 times smaller SANDSTONE Pore size (10-6m) 4
Slide 5: Face Cleat Butt Cleat Bright Coal
Face Cleat Butt Cleat Bright Coal Dull Coal 5
Slide 6: CSG – How is CSG produced?
CSG – How is CSG produced? Fracture Cleat faces • Cleats open at depths typically < 1000m. 6
Slide 7: The desorption process
The desorption process Santos We have the energy.
Slide 8: Exploration and Appraisal activities
Exploration and Appraisal activities Regional Basin studies Seismic acquisition, processing and interpretation Create Geological models Drill Coreholes Laboratory analysis Pilot testing 8
Slide 9: Coreholes
Coreholes Entire coal measure package cored Information - the Big Four - Net Coal - Gas Content - Permeability - Saturation 9
Slide 10: Pilots
Pilots Reserve/Resource Maturation 1 to 5 wells Requires water handling solution Completed Information - the Big Five - Initial water rates - Dewatering duration - Peak gas rate - Water quality 10
Slide 11: Gunnedah – CSG East Coast Structural Setting
Gunnedah – CSG East Coast Structural Setting SRK From ESG investor Presentation 11 From STO investor Presentation
Slide 12: Gunnedah Basin Stratigraphy – Tectonic Events
Gunnedah Basin Stratigraphy – Tectonic Events Tectonic Event Surat Equivalent Hunter-Bowen Orogeny Foreland Basin Black Jack Group (Hoskissons Seam) Foreland Basin Thermal Sag Maules Creek Fm (Bohena Seam) Rift Basin (back-arc) 12
Slide 13: Stratigraphy: Black Jack Group – Late Permian
Stratigraphy: Black Jack Group – Late Permian Trinkey Fm Coals Breeza Coal Hoskissons Coal Melvilles Coals 13
Slide 14: Generalised Geometry - Bando Trough
Generalised Geometry - Bando Trough A A’ Breeza Shelf ? Early Permian - Graben Permian stratigraphy thickens to East Santos Op ESG Op Lithostratigraphic variation between troughs Late Triassic – Tertiary intrusions present A A’ Jurassic – Tertiary volcanics 14
Slide 15: Pilot A & B
Pilot A & B Drill 2 pilots, each containing 3-5 wells Targeting the Late Permian Black Jack Group - Hoskissons CS (Primary) - Breeza CS (Secondary) - Melvilles CS (Secondary) Evaluate with logs, DST’s and cores as warranted 15
Slide 16: Questions
16 We have the energy.