Ausam Energy has acquired a high grade portfolio of oil and gas prospects and several previously discovered, but undeveloped gas resources that are trapped in lower permeability reservoirs. The company proposes to convert these oil and gas resources to commercial production and reserves through the application of underbalanced drilling and completion techniques, the same techniques which are routinely employed in Canada.
Since its inception, Ausam Energy has spent $15 million1 identifying, assessing and acquiring onshore exploration acreage in proven hydrocarbon basins. Today, the company benefits from strong business alliances with some of Australia's largest energy companies, and owns interests in approximately 3.4 million gross acres (2.1 million net acres) of exploration lands across Australia.
The company intends to capitalize on its experience with underbalanced drilling to profitably exploit the oil and gas resource potential. Underbalanced drilling is proving to be particularly effective in the Surat/Bowen Basin in Queensland where formations previously damaged by conventional drilling are now being successfully developed using this proven method. Ausam Energy, along with its strategic joint venture partner and operator Origin Energy of Australia, is now focusing its initial drilling program in the Surat/Bowen Basin where its core development and exploration properties are located.
1 All funds are in Canadian dollars unless otherwise specified.