Mr Kay made the comments in Beach’s annual report, covering a period in which the company acquired Lattice, Benaris’ interest in the Otway Gas Project and Toyota Tsusho Corporation’s interest in the Otway Gas Project and the BassGas project for a total of $1.53 billion.
The activity resulted in Beach holding five production hubs and significant gas processing infrastructure.
“The key event in FY18 was the acquisition of Lattice, which completed in January this year,” said Beach CEO Matt Kay.
“Through this transaction, Beach has enhanced its position in its traditional home, the Cooper Basin, added significant operated gas production in Victoria, gained the exciting Waitsia resource in Western Australia and we are now active in New Zealand with the high quality operated Kupe asset.
“We remain Australia’s largest onshore oil producer, and Beach is now a key supplier to the Australian east coast gas market, supplying approximately 15 per cent of gas demand.”
Mr Kay also outlined Beach’s explorations achievements during the period, with the company participating in 96 wells with a success rate of 82 per cent.
“The combination of strong operational performance, new wells online and the newly acquired assets resulted in record annual production of 19 MMboe, up 80 per cent on the prior year,” he said.
“In Beach’s traditional Cooper Basin business, we successfully introduced horizontal drilling to the Western Flank with the Bauer-26 well.
“Further horizontal wells were drilled in the Beach-operated Stunsail Field and Senex-operated Growler Field during the year, as well as in the Santos-operated Cooper Basin Joint Venture.
“Production from our new offshore assets was characterised by high reliability at the Otway Gas Plant in the Otway Basin, initial incremental gross production of 4–5 TJ/d in the Bass Basin after a successful wireline campaign on Yolla and production from Kupe in the Taranaki Basin meeting high New Zealand customer demand.”
Mr Kay said the company no longer thought of itself as the combination of Beach and Lattice.
“With a diverse geographic footprint, five production hubs, significant gas processing infrastructure, offshore and onshore capabilities and over 300 MMboe of 2P reserves, we are truly a transformed company, proud of our history and focused on the future, and encourage you all to think of us the same way.”
For more information visit the Beach Energy website.
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