Strength through locations and relationships
Location
WestSide operates the Meridian SeamGas CSG fields west of Gladstone in Queensland’s coal-rich Bowen Basin. The Meridian SeamGas fields are currently producing approximately 4 Petajoules of gas a year. WestSide holds a 51 per cent interest in the fields with Mitsui E&P Australia Pty Ltd holding the remaining 49 per cent.
WestSide is also currently working to prove-up CSG resources in its nearby tenements.
These tenements have the geographical advantage of being located adjacent to producing gas fields and pipelines and close to the burgeoning industrial cities of Townsville, Rockhampton and Gladstone.
Gladstone is a developing hub for CSG downstream processing opportunities, including proposed world-class LNG processing plants.
Additionally, WestSide and Bumi Resources have a jointly-owned company, PT Seamgas Indonesia, which has prepared a project definition study to identify CSG resources at the KPC mine site in Kalimantan. This area is located just 50 kilometres from major LNG production facilities at Bontang.
• Meridian SeamGas CSG fields: Close to Gladstone and Rockhampton and producing
• Paranui (ATP 769P): Close to Gladstone and Rockhampton
• Tilbrook (ATP 688P): Close to Townsville, adjacent to pipeline
•Mount Saint Martin (ATP 688P): Close to Townsville, adjacent to pipeline
• KPC Mines: 50km from the Bontang gas facilities
Relationships
WestSide and Mitsui E&P Australia Pty Ltd (MEPAU) are working together as joint venture partners in Meridian SeamGas to increase production and expand reserves. The joint venture has provided an opportunity to access international LNG markets through Mitsui’s global LNG networks.
The joint venture will also consider supplying new domestic gas contracts from 2015-16 once the current supply contracts in place expire.
WestSide’s purchase of its operating stake in Meridian SeamGas was supported by two CSG sector investment pioneers in New Hope Corporation and the Infrastructure Capital Group-managed Energy Infrastructure Trust which are both now major WestSide shareholders.
New Hope was a major shareholder in Arrow Energy, which was recently acquired by Shell while Energy Infrastructure Trust was an early investor in Queensland Gas Corporation (QGC), which was taken over by BG Group in late 2008.
WestSide and QGC, a BG Group business, are now working together to prove up gas reserves in our two jointly owned tenements in Queensland’s Bowen Basin.
The operating and marketing arrangements allow each party to achieve the best commercial outcomes while making efficient use of resources from both companies with the common aim of proving gas reserves in the two tenements.
WestSide also has strategic relationships with two major investors in PT Bumi Resources TBK (Bumi) and SAAD Investments Company Ltd. Bumi is Indonesia’s leading thermal coal producer and WestSide’s active project partner in the region.
SAAD’s investment divisions operate internationally with long term holdings in a broadly conservative portfolio and have a solid understanding of the Australian CSG sector. Both companies supported WestSide’s Initial Public Offering (IPO) and remain its largest shareholders.
The Company has agreements with Bumi to jointly explore for CSG in Indonesia. Bumi subsidiaries PT Kaltim Prima Coal (KPC) and PT Arutmin Indonesia are together, by far, the largest thermal coal producers in Indonesia.