VIC/L 24 Casino (AWE 25%) VIC/L 30 Henry, Netherby (AWE 25%)
Location: Otway Basin, offshore Victoria
AWE holds a 25% interest in the offshore Casino gas project in the Otway Basin in Victorian waters. Gas from the Casino, Henry and Netherby gas fields is produced via subsea wells, connected by pipeline to the Iona gas processing facility in Victoria.
Casino remains an important asset for AWE with exposure to strengthening Australian domestic gas markets. The current gas sales contract expires in early 2018 and marketing of uncontracted gas is underway. AWE anticipates recontracting production by the end of 2017 and that the price per GJ will substantially exceed historic contract rates.
In late April 2017, the Casino-5 well was shut in to address an anomalous annulus pressure reading, which impacted FY17 production. The Operator is planning a work over on the well in early 2018.
The joint venture is currently assessing further development and exploration potential within the Casino gas field, which may involve drilling the Henry-3 well in FY19.
AWE shareholders are being asked to consider a takeover bid from Mitsui & Co,. Ltd.
Listed on the Australian Securities Exchange (ASX), AWE has reshaped itself to operate in a low oil price environment with a near-term focus on domestic gas production.