❓ Mr Dean asks about the potential economic impact of extracting gas from the Whicher Range. Mr Brown responds optimistically, highlighting potential for competitive gas prices and economic development in the south west.
AnsweredQoN 1283Legislative Assembly
QuestionView source ↗
I refer to the Whicher Range gas resource and the drilling program currently being undertaken by Amity Oil Ltd. What will be the likely economic impact on the State and the south west if the gas resource can be successfully extracted from the Whicher Range? Mr C.M. BROWN
AnswerView source ↗
I thank the member for Bunbury for his interest in this matter. This is an important matter. Gas in the Whicher Range was discovered in 1969 and has been the subject of ongoing exploration since that time. I am very pleased that Amity Oil is continuing to explore the area and is now putting down a fifth well. This will provide the opportunity to realise the gas in the Whicher Range. Hopefully, it will be achieved with the use of drilling techniques different from those that were used in the past and that will enable the gas to be extracted. The Whicher Range contains up to 4 trillion cubic feet of gas, which could make a substantial contribution to the economy of the south west. In particular, if Amity Oil and its joint venture partners are successful, it will provide very competitive gas prices in the south west of the State that will further drive economic development in that part of the State. The opportunities are enormous. In this State, over many years and with successive Governments, we have been seeking opportunities for further downstream processing. One of the barriers to those opportunities has been very competitive power prices. If Amity Oil and its joint venture partners are successful, it could provide an ideal opportunity for very competitive gas to be realised in Western Australia, particularly in the south west region. That could provide significant development opportunities for the south west. I am very pleased that Amity Oil and its joint venture partners are continuing to explore in the area. My understanding is that they should have some preliminary results towards the end of the year. I understand that the well they are currently sinking will cost in the order of $10 million, which means considerable risk to the joint venture parties. I certainly wish them well, in the interests of their shareholders who are prepared to have a go, and, more importantly, because of the implications it will have in further driving the economy of Western Australia.
Mr C.M. BROWN replied: I thank the member for Bunbury for his interest in this matter. This is an important matter. Gas in the Whicher Range was discovered in 1969 and has been the subject of ongoing exploration since that time. I am very pleased that Amity Oil is continuing to explore the area and is now putting down a fifth well. This will provide the opportunity to realise the gas in the Whicher Range. Hopefully, it will be achieved with the use of drilling techniques different from those that were used in the past and that will enable the gas to be extracted. The Whicher Range contains up to 4 trillion cubic feet of gas, which could make a substantial contribution to the economy of the south west. In particular, if Amity Oil and its joint venture partners are successful, it will provide very competitive gas prices in the south west of the State that will further drive economic development in that part of the State. The opportunities are enormous. In this State, over many years and with successive Governments, we have been seeking opportunities for further downstream processing. One of the barriers to those opportunities has been very competitive power prices. If Amity Oil and its joint venture partners are successful, it could provide an ideal opportunity for very competitive gas to be realised in Western Australia, particularly in the south west region. That could provide significant development opportunities for the south west. I am very pleased that Amity Oil and its joint venture partners are continuing to explore in the area. My understanding is that they should have some preliminary results towards the end of the year. I understand that the well they are currently sinking will cost in the order of $10 million, which means considerable risk to the joint venture parties. I certainly wish them well, in the interests of their shareholders who are prepared to have a go, and, more importantly, because of the implications it will have in further driving the economy of Western Australia.
I thank the member for Bunbury for his interest in this matter. This is an important matter. Gas in the Whicher Range was discovered in 1969 and has been the subject of ongoing exploration since that time. I am very pleased that Amity Oil is continuing to explore the area and is now putting down a fifth well. This will provide the opportunity to realise the gas in the Whicher Range. Hopefully, it will be achieved with the use of drilling techniques different from those that were used in the past and that will enable the gas to be extracted. The Whicher Range contains up to 4 trillion cubic feet of gas, which could make a substantial contribution to the economy of the south west. In particular, if Amity Oil and its joint venture partners are successful, it will provide very competitive gas prices in the south west of the State that will further drive economic development in that part of the State. The opportunities are enormous. In this State, over many years and with successive Governments, we have been seeking opportunities for further downstream processing. One of the barriers to those opportunities has been very competitive power prices. If Amity Oil and its joint venture partners are successful, it could provide an ideal opportunity for very competitive gas to be realised in Western Australia, particularly in the south west region. That could provide significant development opportunities for the south west. I am very pleased that Amity Oil and its joint venture partners are continuing to explore in the area. My understanding is that they should have some preliminary results towards the end of the year. I understand that the well they are currently sinking will cost in the order of $10 million, which means considerable risk to the joint venture parties. I certainly wish them well, in the interests of their shareholders who are prepared to have a go, and, more importantly, because of the implications it will have in further driving the economy of Western Australia.
The opportunities are enormous. In this State, over many years and with successive Governments, we have been seeking opportunities for further downstream processing. One of the barriers to those opportunities has been very competitive power prices. If Amity Oil and its joint venture partners are successful, it could provide an ideal opportunity for very competitive gas to be realised in Western Australia, particularly in the south west region. That could provide significant development opportunities for the south west. I am very pleased that Amity Oil and its joint venture partners are continuing to explore in the area. My understanding is that they should have some preliminary results towards the end of the year. I understand that the well they are currently sinking will cost in the order of $10 million, which means considerable risk to the joint venture parties. I certainly wish them well, in the interests of their shareholders who are prepared to have a go, and, more importantly, because of the implications it will have in further driving the economy of Western Australia.
Mr C.M. BROWN replied: I thank the member for Bunbury for his interest in this matter. This is an important matter. Gas in the Whicher Range was discovered in 1969 and has been the subject of ongoing exploration since that time. I am very pleased that Amity Oil is continuing to explore the area and is now putting down a fifth well. This will provide the opportunity to realise the gas in the Whicher Range. Hopefully, it will be achieved with the use of drilling techniques different from those that were used in the past and that will enable the gas to be extracted. The Whicher Range contains up to 4 trillion cubic feet of gas, which could make a substantial contribution to the economy of the south west. In particular, if Amity Oil and its joint venture partners are successful, it will provide very competitive gas prices in the south west of the State that will further drive economic development in that part of the State. The opportunities are enormous. In this State, over many years and with successive Governments, we have been seeking opportunities for further downstream processing. One of the barriers to those opportunities has been very competitive power prices. If Amity Oil and its joint venture partners are successful, it could provide an ideal opportunity for very competitive gas to be realised in Western Australia, particularly in the south west region. That could provide significant development opportunities for the south west. I am very pleased that Amity Oil and its joint venture partners are continuing to explore in the area. My understanding is that they should have some preliminary results towards the end of the year. I understand that the well they are currently sinking will cost in the order of $10 million, which means considerable risk to the joint venture parties. I certainly wish them well, in the interests of their shareholders who are prepared to have a go, and, more importantly, because of the implications it will have in further driving the economy of Western Australia.
I thank the member for Bunbury for his interest in this matter. This is an important matter. Gas in the Whicher Range was discovered in 1969 and has been the subject of ongoing exploration since that time. I am very pleased that Amity Oil is continuing to explore the area and is now putting down a fifth well. This will provide the opportunity to realise the gas in the Whicher Range. Hopefully, it will be achieved with the use of drilling techniques different from those that were used in the past and that will enable the gas to be extracted. The Whicher Range contains up to 4 trillion cubic feet of gas, which could make a substantial contribution to the economy of the south west. In particular, if Amity Oil and its joint venture partners are successful, it will provide very competitive gas prices in the south west of the State that will further drive economic development in that part of the State. The opportunities are enormous. In this State, over many years and with successive Governments, we have been seeking opportunities for further downstream processing. One of the barriers to those opportunities has been very competitive power prices. If Amity Oil and its joint venture partners are successful, it could provide an ideal opportunity for very competitive gas to be realised in Western Australia, particularly in the south west region. That could provide significant development opportunities for the south west. I am very pleased that Amity Oil and its joint venture partners are continuing to explore in the area. My understanding is that they should have some preliminary results towards the end of the year. I understand that the well they are currently sinking will cost in the order of $10 million, which means considerable risk to the joint venture parties. I certainly wish them well, in the interests of their shareholders who are prepared to have a go, and, more importantly, because of the implications it will have in further driving the economy of Western Australia.
The opportunities are enormous. In this State, over many years and with successive Governments, we have been seeking opportunities for further downstream processing. One of the barriers to those opportunities has been very competitive power prices. If Amity Oil and its joint venture partners are successful, it could provide an ideal opportunity for very competitive gas to be realised in Western Australia, particularly in the south west region. That could provide significant development opportunities for the south west. I am very pleased that Amity Oil and its joint venture partners are continuing to explore in the area. My understanding is that they should have some preliminary results towards the end of the year. I understand that the well they are currently sinking will cost in the order of $10 million, which means considerable risk to the joint venture parties. I certainly wish them well, in the interests of their shareholders who are prepared to have a go, and, more importantly, because of the implications it will have in further driving the economy of Western Australia.
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