SA’s Energy Bank
In November 2005, Altona acquired (through its wholly owned subsidiary Arckaringa Energy Pty Ltd) a 100% interest in three exploration licences covering 2,500 sq. kms in the northern portion of the Permian Arckaringa Basin in South Australia including three coal deposits – Westfield (EL3360), Wintinna (EL3361) and Murloocoppie (EL3362). On the formation of the Arckaringa Joint Venture, Altona's interest in the exploration licences will be 49%. All three deposits lie close to, or across, the Adelaide to Darwin railroad and the Stuart Highway.
Altona’s current focus is the completion of a Bankable Feasibility Study (BFS) for an integrated 10 million barrel per year Coal to Liquid (CTL) plant with a 560 MW co-generation power facility.
Containing more than 7.8 billion tonnes of coal (non JORC) or an equivalent 7.8 billion barrels of petroleum products, the company’s Arckaringa coal deposits are effectively one of the world’s largest undeveloped energy banks, capable of conversion into clean liquid fuels, low cost power and high value industrial feedstock.
Altona is about to embark on the Final Feasibility Study stage of the BFS for the Arckaringa Project.
The company’s prefeasibility studies established a base case Project comprising :
- An open cut mine at Wintinna producing 10 MTPA coal
- 10 MBPA liquid fuels (mainly ultra clean diesel)
- 1140 MW of power - 560 MW for delivery to the national grid
The Arckaringa Project will involve:
- A mine producing three times more coal annually than Leigh Creek
- A processing and refining complex with the footprint of Moomba
- A power plant larger than Port Augusta
- The possibility of potable water sales to develop the Far North of South Australia
One tonne of Wintinna coal yields one barrel of liquids plus power and industrial products – a significant order of benefit beyond supplying coal for conventional power generation.
The base case combines:
- Two 15,000 barrel per day (BPD) phases over a 4.5 year construction period; and
- A further 2.5 year Phase 3 expansion potentially increasing plant capacity to 45,000 BPD and 840 MW of export power as markets develop
The supporting mine can be developed and expanded within these timeframes. These project parameters are based on pre-feasibility studies conducted by world-class specialists in CTL plant and open cut mine design.
Project Parameters - Pre Feasibility Base Case
The BFS will determine the final project scope and product outputs, which may be varied from the base case outlined in the table below.
| Outputs | Phase 1 & 2 combined | Construction time | Phase 3 | Construction time |
|---|---|---|---|---|
| F-T Liquids (80% distillate, 20% Naphtha) | 30 KBPD or 10MBPA |
4.5 years | 45 KBPD or 15 MBPA |
2.5 years |
| Export Power | 560 MW | (Included in above) | 840 MW | (Included in above) |
| Coal | 10 MTPA | 2.5 years | 15 MTPA | 1 year |
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