Session 7. Oral Presentation for: A novel way to achieve early commercialisation of tight-sand and shale gas fields: small-scale modularised liquefied natural gas

Abstract

Presented on 27 May 2025: Session 7

Based upon published reports, tight-sand and shale gas are one of the largest sources of natural gas under development globally, with annual production increasing dramatically from 2008 to 2023. This was particularly so in China, driven by advancements in drilling and completion technology such as multi-stage hydraulic fracturing in long horizontal wells. Given Australia’s geological setting and industrial environment, which have some similarities with USA and Canada, the country has potential to become a major player in commercially viable tight sand/shale gas production. An estimated 12.93 TCF of 2C contingent gas resources have been identified in Australia, primarily located in the Beetaloo Sub-basin within the greater McArthur Basin, as well as in the Cooper Basin, Canning Basin and Bowen-Surat Basins. However, developing tight-sand and shale gas resources in Australia presents numerous challenges, including their remote location, lack of existing gas export infrastructure, and well productivity constraints due to restrictions on the use of hydraulic fracturing. Additionally, a high-cost environment further hinders the path to commercial production. In China, a small-scale modularised LNG production approach has been successfully applied to tight sand/shale gas developments in the Sichuan Basin, demonstrating how early cash flow and extended production information can provide key support for an operator’s financial position in the market, increasing the chance of development. Lessons from these case studies could be instrumental in overcoming the challenges faced by Australia’s operators for development of this resource type, potentially paving the way to successful commercialisation.

To access the Oral Presentation click the link on the right. To read the full paper click here