The Canning Basin is a geological unit in the southwest Kimberley region some 2,300kms north of Perth. The area of Buru’s operations is low topographic relief and is dominated by rangelands with large cattle grazing properties covering most of the area.
The Canning Basin is the largest sedimentary basin in Western Australia covering an area of some 530,000 sq kms. Geologically, the basin has similarities with highly productive Palaeozoic aged basins worldwide and is one of the few remaining areas in onshore Australia that is under-explored for petroleum.
Buru Energy holds the dominant acreage position in the Canning Basin and is an active explorer in the Basin. As part of a recent exploration program it has made a significant conventional wet gas discovery with the Rafael 1 well and it also produces oil from the conventional Ungani Oilfield. It also has a major tight wet gas resource in the the Laurel Formation including certified resources in the Yulleroo Gasfield. The Company is actively exploring its extensive and highly prospective exploration portfolio.
Buru Energy has a 50% operating interest in the conventional Ungani Oilfield (production licences L20 and L21), with Roc Oil Company Limited holding the remaining 50%.
The Ungani Oilfield is located approximately 90 kilometres east of Broome and currently includes six production wells and associated production facilities. The produced oil is trucked to the Port of Wyndham where it is stored in an 80,000 barrel tank from where it is purchased FOB by BP Singapore Pte Limited and shipped to SE Asian refineries.
The Company also holds 100% of a number of legacy fields on the Lennard Shelf in the north of the Basin including the Blina Oilfield where operations to determine the potential for a secondary recovery project are ongoing.
The Canning Basin hosts a major tight wet gas resources with world scale prospective resources in the Laurel Formation. The most well-developed of these resources is the Yulleroo Gasfield where four wells have defined a substantial contingent resource of gas and gas liquids’.
An independent evaluation of the gas and liquids resources of the Yulleroo Gasfield by RISC determined 2C Contingent Resources net to Buru of some 714 petajoules of recoverable gas with 24.9 MMbbls of associated liquids.
The Origin Energy farmout transaction does not include the Yulleroo Gasfield which is retained 100% by Buru.
Buru Energy has an extensive and highly prospective exploration portfolio including conventional oil and gas prospects that are well defined on both 2D and 3D seismic. The portfolio covers a range of prospect sizes and play types from proven Ungani lookalikes to other high potential play types for oil and gas, including the conventional gas and oil prospects that have similarities to the Rafael discovery.
In December 2020, Buru announced it had entered into a farm out transaction with Origin Energy for a Canning Basin wide exploration program whereby Origin will earn a 50% interest in the EP129, EP391, EP428, EP431 & EP436 permits as well as a 40% interest in the EP457 and EP458 permits held with Rey Resources. Buru will remain as operator of all exploration permits.