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The APPEA Journal The APPEA Journal Society
Journal of Australian Energy Producers
RESEARCH ARTICLE

The Halladale–Speculant fields: the first nearshore gas fields to be developed from mainland Australia

Andrew Constantine A C , Glenn Morgan A , Robin O’Leary A and Simon Smith B
+ Author Affiliations
- Author Affiliations

A Lattice Energy, Level 5, 135 Coronation Drive, Milton, Qld. 4064, Australia.

B Origin Energy, Level 4 North, 339 Coronation Drive, Milton, Qld. 4064, Australia.

C Corresponding author. Email: andrew.constantine@latticeenergy.com

The APPEA Journal 58(1) 255-281 https://doi.org/10.1071/AJ17180
Submitted: 22 December 2017  Accepted: 13 February 2018   Published: 28 May 2018

Abstract

Extended-reach drilling (ERD) is becoming an increasingly common technique used to explore for hydrocarbons and develop fields in areas where simple vertical wells cannot be drilled due to access problems, stakeholder concerns, environmental issues, poor reservoir quality and/or cost. While these types of wells are generally more expensive and technically challenging to drill than vertical wells, they can be very cost-effective, and if a discovery is made, considerably quicker to monetise when future development costs are also taken into consideration, particularly in offshore environments.

In 2014–2015, the conventional Exploration and Production division of Origin Energy (now Lattice Energy) drilled three onshore-to-offshore ERD wells and a geological sidetrack in the Otway Basin with horizontal offsets of 1929, 2576, 4239 and 5152 m targeting an undeveloped gas field (Halladale) and exploration prospect (Speculant) located in Victorian state waters near Port Campbell. The three wells (Halladale-2, Speculant-1 and Speculant-2) and sidetrack (Speculant-2ST1) were drilled during a single drilling campaign from the same pad to reduce mobilisation, drilling and development costs. Halladale-2 was designed to develop the Halladale Field, while Speculant-1, -2 and -2ST1 were designed to evaluate the Speculant Prospect. Both Speculant wells and the sidetrack encountered significant gas columns with Speculant-1 and Speculant-2ST1 subsequently completed as producers after being successfully flow tested. A 33 km onshore pipeline was then constructed to transport the gas from Halladale and Speculant back to the Otway Gas Plant (OGP) for processing and sale.

The arrival of first gas at the OGP from the Halladale and Speculant gas fields on 26 August 2016 marked a significant milestone for Origin Energy in terms of accelerated project delivery. It also represented the end of a 15-year journey for Halladale from exploration to discovery to development. The drilling campaign also set several records in the process with: (1) Speculant being the first offshore field to be discovered from mainland Australia; (2) Halladale and Speculant being the first offshore fields to produce gas back to mainland Australia from onshore wells; (3) Halladale-2, Speculant-1 and Speculant-2 being the three longest onshore-to-offshore wells drilled to date in Australia (in horizontal departure terms); and (4) Halladale-2 being the longest well (in mMDRT terms) drilled to date in the Otway Basin. Speculant is a good example of how transition zone (TZ) seismic and ERD technology can be used successfully to explore and develop resources in areas previously considered too difficult by using more conventional seismic acquisition and drilling technology.

Keywords: amplitudes, Black Watch, ERD, extended-reach drilling, gas field, Halladale, Otway, Port Campbell Embayment, Shipwreck Trough, Speculant, transition zone, Victoria, VIC/L1(V), Waarre.

Andrew Constantine has a BSc (Honours) from the University of Otago (Dunedin, New Zealand) and a PhD from Monash University (Melbourne, Australia). He started his career with the Petroleum Development Unit of the Victorian Department of Mines and Energy in 1997 and joined Origin Energy in 2001 where he is now Principal Geologist working on Lattice Energy’s Otway and Bonaparte assets. Member: PESA.

Glenn Morgan has a BSc (Honours) from the University of Melbourne and a MEngSc and PhD from the University of New South Wales. He joined Origin Energy in 2006 and is currently Principal Geophysicist working on Lattice Energy’s Otway Basin assets. Prior to this, Glenn worked at Geoscience Australia, Oil Search, InterOil and several minerals companies. Member: SEG and PESA.

Robin O’Leary holds a Bachelor of Science (Honours) and Bachelor of Commerce from the Australian National University. He previously worked as a petroleum geologist and team leader for Geoscience Australia. He joined Origin Energy in 2007 and is currently Exploration Manager at Lattice Energy (Origin). In his current role he is responsible for delivering exploration strategy and leading the exploration programs to deliver growth opportunities across Lattice Energy’s operated and non-operated assets with particular focus on the Australian Southern margin basins, the North West Shelf and New Zealand. Member: PESA and AAPG.

Simon Smith has a B.Sc. (Honours) in Engineering Geology from Liverpool John Moore’s University and a M.Sc. in Petroleum Engineering from Heriot-Watt University. He joined Origin Energy in 2008 and spent several years managing the development activities for the company’s Otway Basin and Bass Basin assets. He is currently coordinating the production forecasting, economics and reserves processes for the Australia Pacific LNG project. Prior to Origin, Simon worked for Santos and Maersk Oil, amongst others, in a variety of worldwide locations. He is a Chartered Engineer, Registered Professional Engineer of Queensland and a Fellow of the Institution of Engineers Australia. Member: SPE.


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