Reserves and Resources
In early 2013 Blue achieved its maiden 2P gas reserves of 50 Petajoules (PJ) and a 150% increase in its 3P gas reserves to 187PJ in the Company’s wholly owned ATP814P in the Bowen Basin, Queensland.
In the second half of 2013 NSAI reviewed data from activity adjacent to the Blue Energy’s Lancewood Block of ATP814P and provided a reserves upgrade for the permit.
In 2015, NSAI performed another review of activity adjacent to Blue's blocks in ATP814P, issuing further reserves upgrades the Sapphire and Central Blocks in December. This latest upgrade by NSAI confers 2P and 3P reserves for the Sapphire Block of 59PJ and 216PJ respectively, and reserves for the Central Block of 12PJ (2P) and 75PJ(3C).
The upgraded gas reserves follow an independent annual review of data associated with the Sapphire, Central and Lancewood Blocks of ATP814P by Netherland, Sewell and Associates Inc. (NSAI). Blue Energy’s Sapphire Block of ATP814P is located immediately adjacent to Arrow Energy’s Moranbah Gas Project which currently supplies gas to Townsville users but is also targeted to provide feed gas for Arrow Energy’s proposed LNG export facility in Gladstone
Competent Person Statement
The estimates of reserves and contingent resources have been provided by Mr John Hattner of Netherland, Sewell and Associates Inc. Mr Hattner is a full time employee of NSAI, has over 30 years’ of industry experience and 20 years’ of experience in reserve estimation, is a licensed geologist, and has consented to the use of the information presented herein. The estimates in the report by Mr Hattner have been prepared in accordance with the definitions and guidelines set forth in the 2007 Petroleum and Resource Management System (PRMS) approved by the Society of Petroleum Engineers (SPE), utilising a deterministic methodology.