Orion Petroleum Limited
Address: Level 3, 10 Bridge Street Sydney NSW 2000
Tel: +61 2 9254-9000
Company descriptionOrion Petroleum Limited (Orion) is an oil and gas explorer with its focus in northern New South Wales.
Orion listed on the Australian Securities Exchange on 12 December 2007 (ASX: OIP) after achieving maximum over subscription as part of its IPO. Petroleum assets acquired from Eastern Star Gas (ESG) formed the basis of the IPO and ESG remains as one of Orion’s major shareholders with a stake of approximately 23%.
Products and servicesdeveloping petroleum resources in its licences and by the acquisition of appropriate interests in exploration and/or development opportunities in Australia and overseas.
Orion will pursue its drilling program using the funds raised by the IPO and will also seek farm-in participants to contribute to the costs of its exploration program as part of a prudent risk management strategy.
Orion will identify, define and drill prospects with the greatest hydrocarbon potential while offering the highest likelihood of success. With a focus on both conventional oil and gas and coal seam gas reservoirs, the drilling schedule will take into account licence work commitments, rig availability and logistical efficiencies.
While exploration drilling is high risk, the rewards can be commensurately high. For example, the Toenda prospect, which is a conventional oil play in PEL 6, is a ready-to-drill target with a most likely in-place oil potential of 31 million barrels. Large structures in Orion's Darling Basin licences of northwestern NSW have been identified on seismic to hold exceptional gas potential, possibly in excess of 3 TCF in-place. In addition to this conventional potential, Orion has identified 3.5 TCF of in-place coal seam gas potential in the Company's Surat-Bowen Basin licences in northern NSW. It is important to note, however, that reserves can only be determined after successful formation testing and a full assessment of commercial viability.
Orion's portfolio of licences also has the advantage of being reasonably close to existing transport and pipeline infrastructure and this will facilitate commercialisation of petroleum that we discover and the subsequent marketing and transporting of oil and gas.