Arrow surat gas project

Expansion plans to extend the Arrow Surat Gas Project in south west Queensland received Federal Government approval on December 20, 2013. The Arrow Surat Gas Project is located 160 kilometres west of Brisbane and the approval allows Arrow Energy Pty Ltd's coal seam gas operations between Millmerran and Wandoan in the Surat Basin to be expanded.

The Arrow Surat Gas Project had gained State Government approval for its expansion plans in October 2013. It is one of five Arrow development projects that are either currently under assessment, or have been previously approved, as part of the large Arrow CSG-LNG project on Curtis Island:

• The Arrow LNG plant that has already received both Federal and State government approvals
• The Arrow Surat Pipeline that was approved in 2009
• The Bowen Gas Project that is currently having a supplementary report being compiled as part of its EIS (Environmental Impact Statement)
• The Arrow Bowen Pipeline that has received State Government approval but is still waiting of approval from the Federal Government
• The Arrow Surat Gas Project that has now received both Federal and State government approval

The approvals are an acknowlegement of three years of constant work undertaken by Arrow Energy Pty Ltd representitives. These company officials have worked among affected farmers in an effort to enlist their cooperation in arriving at co-development solutions, that allows coal seam gas development to coexist with the agricultural industry.

The Arrow Surat Gas Project will provide additional coal seam gas for both the domestic and export markets. The project covers the extension of the existing coal seam gas wells:

• Daandine - that has been producing gas since 2006
• Kogan North- that has been in production since early 2006
• Stratheden- that began producing coal seam gas in 2009
• Tipton West- that produced its first gas in 2009

It also takes in a broader area that stretches from Wandoen to Dalby and south to Goondiwindi and Millmerran where Arrow Energy Pty Ltd holds environmental approvals for exploration purposes as well as petroleum tenures.

Arrow Energy Pty Ltd is one of Australia's largest integrated energy organisations that operates coal seam gas wells in the Surat and Bowen Basins, it also owns a gas fired power station and has interests in two others. Arrow Energy Pty Ltd supplies around 20 percent of Queensland's gas requirements with most of it being used in to generation of electric power. It also supplies a significant amount of gas to the Queensland domestic market. Arrow Energy Pty Ltd is owned by Royal Dutch Shell and PetroChina under a 50 percent each joint venture partnership.

The Arrow Surat Gas Project is the company's largest gas exploration, development and production project undertaken in the Surat Basin. The project has been developed progressively across the Surat Gas project development area. The rate of development has been determined by information gained from the exploration program as well as the level of demand from the domestic and export market.