New Zealand Oil & Gas has signed a Memorandum of Understanding (MoU) with Twin Bridges LLC to progress a helium recovery unit project in the Northern Territory (NT).
The unit will be at the Mereenie field, with Central Petroleum Limited as the field operator.
New Zealand Oil & Gas has a 17.5 per cent interest and Cue Energy Resources holds 7.5 per cent. Macquarie Mereenie holds a 50 per cent interest while Central holds a 25 per cent participating interest.
The proposed project will target production of up to 60,000 standard cubic foot (SCF) of compressed helium gas per day, separating helium from the existing natural gas produced at Mereenie.
New Zealand Oil & Gas chief executive officer Andrew Jefferies said the initiative demonstrates its commitment to finding value from its assets.
“Helium is a valuable global commodity in short supply, facilitating all sorts of processes from knee MRI’s to deep ocean exploration, rocket science to party balloons,” Jefferies said.
“I look forward to keeping the market informed as the project develops.”
Successful production of helium at Mereenie will demonstrate the potential of the Amadeus Basin as a helium resource.
Subscribe to Energy Today for the latest project and industry news.