Sep 21, 2020

Comet Ridge adds two more blocks to Mahalo expanse

Comet Ridge adds two more blocks to Mahalo expanse

Comet Ridge has been selected by the Queensland Government as preferred tenderer for two additional gas blocks in the Mahalo Gas Hub, west of Gladstone.

Comet Ridge managing director Tor McCaul said the group was very excited to be awarded preferred tenderer status on the well-positioned blocks, significantly increasing the company’s footprint in the area.

He said these new blocks, along with Mahalo North, provided Comet Ridge with a very large area to appraise and develop.

“The Mahalo Gas Hub is an emerging gas area that is well positioned to
deliver significant near-term volumes of gas into the domestic market, and Comet Ridge as 100 per cent owner of these three additional blocks, is well positioned to fast track development.”

Mr McCaul said the award of the two new blocks was very timely, given the Queensland Government’s and also the Federal Government’s enhanced focus on natural gas as a key contributor to renewable supported power generation and manufacturing in Australia.

He noted that the Queensland Government had also recently allocated $5million for studies related to connecting the Northern Bowen
Basin into the east coast gas network.

The pipeline connection may pass directly through or very close to the Mahalo Gas Hub area, he said.

Both new block tender areas are subject to the Australian market supply condition, to support local industry

Details of the new blocks awarded to Comet Ridge in the recent tender process are:

  1. PLR2020-1-1 (which will be called Mahalo East) covers an area of 97sq km and is located immediately east of Mahalo North (and north of the Mahalo Gas Project). It is considered an immediate extension of the Mahalo Gas Project.
  2. PLR2020-1-2 (which will be called Mahalo Far East) covers an area of 338sq km and is located slightly further east again. This block is expected to provide significant potential upside within the Mahalo Gas Hub.