ConocoPhillips and PetroChina abandon Australian shale wells

Australia, North-West
Source: DollarPhotoClub

American company ConocoPhillips and PetroChina have announced that they’re abandoning shale gas exploration in the onshore Canarvon basin in northwest Australia. The decision was taken after drilling results turned out to be unsatifactory.

The companies have, so far, drilled two out of three planned exploratory wells, but decided to cease activities after disappointing results.

ConocoPhillips is another American company, after US independent Hess, to abandon drilling in the Northern Territory’s Beetaloo basin. Chevron is due to decide in March next year about going ahead with its shale joint venture with Australian independent Beach in the Cooper basin in South Australia.

Australia’s shale gas development has been stalled by its complex geology, the ready availability of coal-bed methane gas that is already in production, as well as the sector’s high development costs.

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