A review of the Moranbah Gas Project (MGP) has resulted in a 31 per cent lift in the estimated 2P gas reserves, adding further fuel to owner QPM Energy’s growth plans.
MGP gas is pumped from Central Queensland to The Townsville Power Station which services an average 33,100 homes.
An updated estimate by Netherland, Sewell & Associates places the MGP’s 2P gas reserves at 435PJ, an increase of 104PJ over the March 2024 estimate.
QPM Energy said its 315PJ of uncontracted gas reserves stood as one of the largest uncontracted gas portfolios in the Eastern Australian gas market.
“We are very pleased to have achieved another significant milestone in our reinvigoration of the Moranbah Gas Project,” chief executive officer David Wrench said.
“In less than two years, we have delivered two significant reserve upgrades at the MGP.
“Our understanding of the project’s resource base is continuing to develop and confirms our view that the MGP is a tier 1 gas asset with further growth potential.”
The past quarter has seen QPM integrate the newly acquired 12.8MW Moranbah Power Station into Moranbah Gas Project operations.
The company said the power station delivered a total net benefit to QPM Energy for the March quarter of $1.7m when compared with the previous quarter.
QPM Energy has previously announced its strategy to increase its power generation capacity by developing additional gas-fired generation in Moranbah.
In its latest quarterly report, the company said FEED work on the proposed new power station continued to advance positively.
It is anticipated that feasibility, commercial and financing plans will be finalised during the June quarter.
Managed production at the Moranbah Gas Project during the March 2025 quarter was impacted by a series of intense storms and significant regional rainfall.
QPM Energy said these events caused damage to electrical and other infrastructure. However most rectification work had been completed by the end of March, with managed production increasing to over 23TJ/day.
The company also owns the Townsville Power Station, which was taken offline late last month for an overhaul of the gas turbine.
The plant is scheduled to be re-commissioned in late June for full operational availability in early July.
QPM Energy generated total electricity and gas sales revenue of $20.6 million last quarter compared to $30.8 million in the December quarter.
Low average and peak electricity pricing during the March quarter and a steam generator outage at the Townsville plant were the main contributors to the fall in revenue, the company said.