COAL AS A SOURCE OF OIL AND GAS: A CASE STUDY FROM THE BASS BASIN, AUSTRALIA

Abstract

Only a few published geochemical studies have demonstrated that coals have sourced significant volumes of oil, while none have clearly implicated coals in the Australian context. As part of a broader collaborative project with Mineral Resources Tasmania on the petroleum prospectivity of the Bass Basin, this geochemical study has yielded strong evidence that Paleocene–Eocene coals have sourced the oil and gas in the Yolla, Pelican and Cormorant accumulations in the Bass Basin.

Potential oil-prone source rocks in the Bass Basin have Hydrogen Indices (HIs) greater than 300 mg HC/g TOC. The coals within the Early–Middle Eocene succession commonly have HIs up to 500 mg HC/g TOC, and are associated with disseminated organic matter in claystones that are more gas-prone with HIs generally less than 300 mg HC/g TOC. Maturity of the coals is sufficient for oil and gas generation, with vitrinite reflectance (VR) up to 1.8 % at the base of Pelican–5. Igneous intrusions, mainly within Paleocene, Oligocene and Miocene sediments, produced locally elevated maturity levels with VR up to 5%.

The key events in the process of petroleum generation and migration from the effective coaly source rocks in the Bass Basin are:

the onset of oil generation at a VR of 0.65% (e.g. 2,450 m in Pelican–5);

the onset of oil expulsion (primary migration) at a VR of 0.75% (e.g. 2,700–3,200 m in the Bass Basin; 2,850 m in Pelican–5);

the main oil window between VR of 0.75 and 0.95% (e.g. 2,850–3,300 m in Pelican–5); and;

the main gas window at VR >1.2% (e.g. >3,650 m in Pelican–5).

Oils in the Bass Basin form a single oil population, although biodegradation of the Cormorant oil has resulted in its statistical placement in a separate oil family from that of the Pelican and Yolla crudes. Oil-to-source correlations show that the Paleocene–Early Eocene coals are effective source rocks in the Bass Basin, in contrast to previous work, which favoured disseminated organic matter in claystone as the sole potential source kerogen. This result represents the first demonstrated case of significant oil from coal in the Australian context. Natural gases at White Ibis–1 and Yolla–2 are associated with the liquid hydrocarbons in their respective fields, although the former gas is generated from a more mature source rock.

The application of the methodologies used in this study to other Australian sedimentary basins where commercial oil is thought to be sourced from coaly kerogens (e.g. Bowen, Cooper and Gippsland basins) may further implicate coal as an effective source rock for oil.