Jackson oil about to flow

Press, 7 May 1984, Page 30

Jackson oil about to flow

NZPA-AAP Brisbane Oil from one of Australia’s largest onshore reserves will start pouring into refineries in Brisbane this week, ending a ?NZI7O million development. The dark green crude, has already begun flowing through an 800 km link from the Jackson fields near the south-western border of Queensland to the existing Moonie-Brisbane pipeline. When drilling was completed at the Jackson No. 1 well by the end of 1981, the enthusiasm of the exploration operator, CSR — now involved through subsidiary Delhi Petroleum — contrasted remarkably with the plugged 15cm hole in the middle of seemingly endless desert. But reserves which were found at more than 1300 metres gave a boost to the drilling project which followed. Another field was found at nearby Jackson South shortly afterwards and other exploratory wells in the two fields also proved successful.

The crude arriving at Brisbane’s two refineries this week is the end result, although the path from the south-west has not been without controversy. By the time he visited the Jackson fields in December, 1981, Queensland Mines and Energy Minister, Mr Ivan Gibbs, was telling the partners in the Naccowlah block containing the fields that

recoverable reserves would have to come east, despite the expense. The then CSR chief, Mr Gordon Jackson, after whom the fields were named, said it would be more logical to pipe the oil just across the South Australian border to the Moomba plant, at about one-fifth or less of the cost The South Australian Government also entered the argument, claiming the matter of state borders was irrelevant; as far as it was concerned the oil lay at the eastern rim of the CooperEromanga basin, which is predominantly within northeastern South Australia.

Nonetheless, the pipeline came east.

Santos estimates recoverable reserves from the Jackson fields as about 35M barrels, making it one of the most significant onshore finds in Australia. The crude has been arriving at Moonie at an average rate of 12,500 barrels a day and is expected to be used primarily for domestic consumption once it has been processed at Brisbane’s two oil refineries.

The Jackson venture, where efforts came up trumps despite the daunting cost of exploration, has left the Queensland Government hoping it will now see more initiative of the same kind in other desolate expanses of the state.