bight exploration q1 2017 update - regional development … · 2017-03-06 · © 2017 chevron...

© 2017 Chevron Australia Pty Ltd

Bight Exploration Q1 2017 Update

David Moffat General Manager Exploration

&

Dee Bourbon External Affairs

2 © 2017 Chevron Australia Pty Ltd. All Rights Reserved.

the RGB values to select color.

Bight exploration - Q1 2017 update Chevron’s operations in Australia

EXMOUTH PLATEAU

GREATER GORGON

NORTH WEST SHELF

WHEATSTONE

Karratha

Onslow

Barrow Island

Thevenard Island 200kms

North West Operations

Bight Basin

500kms

North Carnarvon Basin



Chevron Australia Largest natural gas resource holder in Australia

Exploration • One of Chevron’s

global focus areas.

• 25+ Discoveries

2009 -2015.

• Success rate 90%.



Chevron’s commitment to Australia Australian industry participation

Gorgon

• $34 billion* Spent on Australian goods and

services

• 700 contracts Awarded to Australian companies

• 10,000 jobs Workers directly employed

Wheatstone

• $11 billion* Spent on Australian goods and

services

• 300 contracts Awarded to Australian companies

• 7,000 jobs Workers directly employed

*To end of quarter one 2015

Source: ACIL Allen economic modelling



Chevron’s Bight Exploration EPP44 & EPP45 permit locations and distances to main ports

Ceduna

Port Lincoln

Adelaide

Great Australian Bight

EPP44

EPP45

620 km

Chevron acreage

Nerites 3D seismic survey

100 km



Chevron Australia Supporting local South Australian communities

• Committed to full, fair and reasonable opportunity for local industry.

• ~$125 million committed to Australian local content to date.

• 196 Australian workers employed offshore in two-stage seismic survey.

• Chase boats contracted from local businesses.

• Working with Industry Capability Network of South Australia (ICN SA).

• Identifying capacity and capability in marine, aviation & logistics services in Ceduna, Port Lincoln

& Adelaide.

CASE STUDY: Osmoflo

“The contract Osmoflo was awarded [five desalination projects] required a high level

of design engineering and documentation to achieve Gorgon’s operability

requirements and environmental standards.”

“This enabled Osmoflo to provide opportunities to our employees to increase their

skillset, which helped expand our business capabilities. Osmoflo has secured projects

not only in Australia but globally using the expertise obtained on the Gorgon Project.”

Marc Fabig, Director, Osmoflo South Australia



Chevron’s deepwater exploration record

Drilling expertise • Highly experienced in difficult deepwater

environments: Gulf of Mexico, North Sea, Brazil,

West Africa, Australia, Canada.

• 301 wells in water depths (WD) greater than 1,000m.

• 80 wells deeper than 1,500m WD.

• 2,363m WD 400 km off Newfoundland.

• Deepest WD 2,934m Tobago#1 in the GOM.

• Drilled 70 wells in offshore WA since 1987 without a

single well-related loss of containment.

• Continuous improvement in safe practice and

regulatory oversight since Macondo and Montara.

• Led the industry in gaining regulatory approval to

resume operations in Gulf of Mexico.

• Industry leading WellSafe process.

Exploration areas Production



Offshore exploration in Australia

Offshore SA exploration • Australian petroleum industry that has safely

produced in NW WA and Bass Strait for 50 years.

• Offshore exploration safely undertaken in SA

waters for 50 years.

• First SA seismic survey conducted in 1966 with

130 programs completed.

• Since 2011, four seismic surveys undertaken in

the Bight without environmental incident or

identified harm.

• First well drilled offshore SA in 1972.

• 24 wells drilled to date with 13 wells in the Bight.

• Last Bight well drilled by Woodside was

Gnarlyknots 1A in 2003, drilled safely to 4,736m.

Source: SA Government



Offshore exploration in Australia Southern Australia Margin Analogue - Gippsland Basin

Development analogue

• Multiple >1 BBOE fields.

• Halibut Field has already produced >900MMBO.

• Several giant fields are present with oil fields in the

outer trend.

• Generating approximately $300 billion* in federal

government revenues in real terms (2.1 per cent of

all Government revenues collected in the period.)

• Flow on effects have contributed over $200 billion

to Australia's Gross Domestic Product (GDP).

• $2.2 billion per annum in nominal terms.

• Approximately 50,000 permanent additional jobs

have been created in Victoria (14,000 in regional

Gippsland alone).

*ExxonMobil study, 2006 and Figures over time are calculated in 2004

present value terms



• Exploration and development is a decade-long

process

• The Bight represents one of Australia’s most

prospective frontier hydrocarbon exploration

regions and remains largely unexplored.

• Chevron has extensive experience:

− Safely drilling comparable wells globally

− Developing and implementing Environment Plans

for our exploration programs

Bight exploration - Q1 2017 update Chevron’s operations in South Australia



Overview of NOPSEMA environment plan process

Prepare

Draft EP

Public

consultation

Update and

submit EP

NOPSEMA

assessment

Ongoing

consultation



Progress update: what we’ve been working on

• Preparation of draft Environment Plan

• Analysis of seismic data to plan the drilling campaign

• Emergency response planning

• Completed stage 1 of the CSIRO Great Australian Bight deepwater marine program

• Preliminary stakeholder consultation

– New APPEA methodology

– Community events: Tunarama, Mortlock Shield, Cleve Field Day, Oysterfest



Information for public consultation

• Introduction to activities in the Great Australian

Bight

• Description of the activity

• Description of the environment

• Stakeholder engagement and feedback

• Implementation strategy

• Introduction to emergency response

• Environmental risk and impact assessment

methodology

• Environmental risk assessment and management

– Planned activities

– Unplanned events (non-emergency)

– Emergency events

– Emergency response

• Supplementary information



Current environment plan schedule

Conduct seismic Analyse

seismic

2014-15 2015-2018

Plan & prepare

draft EP

Stakeholder

consultation

Update and

submit EP

Q3/Q4 2017 Q1 2016-Q3 2017 Q2-Q3 2017

• Baseline studies

• CSIRO study

• Oil spill modelling

• Preliminary

stakeholder

consultation

• Emergency

response planning

• Management and

monitoring plans

• Six week formal

consultation

• Website for

information and

submissions

• Stakeholder input

assessed and EP

updated

• NOPSEMA

assessment



• Information on website

• Local community visits

• Stakeholder meetings

• Industry engagement

Q2-Q3 2017

Current stakeholder engagement schedule

Notify

stakeholders

Formal

consultation

Late Q2 2017

Assess

submissions

Q3 2017

Close

feedback

Q3 2017

Update &

submit EP

Q3/Q4 2017

Incorporate relevant stakeholder

feedback into draft EP

Q2-Q3 2017 Ongoing consultation as per

commitments in EP

stakeholder engagement plan

Preliminary consultation

Q2 2016-Q2 2017

bight exploration q1 2017 update - regional development … · 2017-03-06 · © 2017 chevron...

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