Cooper Energy-led consortium to acquire BHP’s Minerva gas plant

A consortium of Cooper Energy, Awe and Mitsui E&P Australia has reached an agreement to acquire BHP Billiton Petroleum’s 90% interest in the Minerva gas plant.

Located in the Otway Basin in Victoria, the plant offers direct connectivity to the SEAGas Port Campbell-to-Adelaide pipeline and the APA Group-owned South West Pipeline.

Cooper Energy already holds a 10% stake in the plant and will increase its interest to 50% once the transaction is closed, while Awe and Mitsui will each hold a 25% interest.

The deal does not affect the ownership of the Minerva gas field and pipeline, which are owned by BHP (90%) and Cooper (10%).

Located around 5km north-west of Port Campbell, the Minerva gas plant has a gas processing capacity of around 150 terajoules per day. It also has hydrocarbon liquids processing facilities.

Cooper Energy managing director David Maxwell said: “The Minerva gas plant is one of three gas processing plants located onshore Victoria that are currently processing gas from the offshore Otway Basin.

“Our analysis indicates the plant can offer a highly competitive processing option for gas from Casino Henry and other gas fields in the region. Ownership of the plant has clear strategic merit and can significantly further enhance the economics of Otway Basin gas development and production.”

The company expects the acquisition to complement its exploration and development plans for the offshore Otway Basin.

The firm plans to drill a development well on the Henry field in addition to drilling for new gas reserves.

The consortium partners also hold interest in the Casino Henry gas project and VIC/P44 exploration acreage in the Otway Basin.