Frontier gas exploration grants program

The frontier gas exploration grant program provided 4 projects in the Bowen Basin with a share of $21 million in funding and is now finished.

The program aimed to fast-track the development of future gas supply for Queensland and the broader East Coast market. It supported gas production appraisal activities, which aimed to help convert gas resources into reserves. This is a lengthy and costly process that must be completed before gas can be commercialised, making this stage of the activity a strong candidate for government support.

View the map of completed frontier gas exploration projects (JPG, 605KB).

Below are brief project summaries for each project

Completed project Summaries

Denison Gas QLD Pty Ltd—Rolleston Coal Seam Gas Pilot Project

This project involved drilling a dual-lateral well into the Bandanna Formation using new techniques and operational approaches. This innovative well design provided new geological data in a data-poor region and has supported the potential conversion of 2C contingent resources to 2P reserves. The testing results will guide future appraisal plans.

State Gas Limited—Rolleston West (Rougemont Expansion) Project

State Gas Limited drilled two new appraisal wells, Rougemont-5 and Rougemont-6, at Rougemont to establish estimates of gas reserves. The wells confirmed thick coal seams with high-quality methane and good permeability, which could power their pilot plant for cleaner mining fuel. The project will likely progress towards booking gas reserves and pipeline development.

Comet Ridge Mahalo East Pty Ltd—Mahalo East Pilot Project

The project drilled two wells under its Mahalo East Pilot Project, confirming the extension of the Mahalo fairway. Their approach on lateral wells was particularly suited to the area's sensitive environmental context.

QPM Energy Pty Ltd – Fairhill Seam Production Assessment Project

QPM Energy Pty Ltd tested whether longwall mining could significantly improve coal seam permeability. Involving a pre-draining technique on a series of wells into Fairhill, and has indicated a potential commercially viable technique to maximise gas recovery for commercial use.