http://www.weekendpost.co.za/business/article.aspx?id=618512

FALCON Oil and Gas Ltd is planning to conduct a seismic survey for natural gas in the southern part of the Great Karoo Basin across an area of some 30000km² stretching from Ceres in the Western Cape to Graaff-Reinet, Aberdeen and Jansenville in the Eastern Cape.

The Canadian company is currently applying for an exploration right in terms of the Mineral and Petroleum Resources Development Act.

The area takes in more than 2500 farms and farm portions, although only about 426 of the properties are included in the company’s current seismic survey plan.

SRK Consulting (South Africa), which has been appointed to facilitate the required consultation process and compile the environmental management programme (EMP), note in a background document that the oil and gas potential of the Karoo Basin has been recognised since the early 1900s.

It further states: “ ... extensive exploration programmes, including seismic surveys and the drilling of several deep wells, were undertaken in the 1940s and again in the 1960s.

“Although hydrocarbons were detected, the reserves were not considered viable and exploration efforts moved offshore,” and there has been no exploration for the past 40 years.

In recent months several companies have resumed exploration efforts in the area, targeting shale gas. Falcon also carried out a desktop study of the existing data but its “poor quality ... made it apparent that a detailed seismic survey programme would be required to form a complete understanding of the geology in the application area”.

“This is necessary to accurately predict the potential and most likely locations for hydrocarbon resources.”

At this stage Falcon is only applying for an exploration right to acquire additional seismic data and if it elects to conduct further exploration activities, these will be subject to additional authorisation applications.

Falcon states that the proposed exploration programme will last three years:

Year One – further analysis of the existing data to define more clearly the locations “where the acquisition of new seismic data would be most beneficial”;

Year Two – seismic filed data acquisition, and

Year Three – seismic data interpretation “to determine whether additional exploration activities, further seismic surveys or exploration drilling, are warranted”.

As far as the acquisition of the data is concerned, seismic lines in corridors have been identified by Falcon and the data will be gathered along existing roads, tracks and trails within these corridors as far as possible in consultation with the landowners.

A series of five-metre-deep shot holes will be drilled at about 50m intervals along the seismic lines using one of a number of small types of portable drilling rigs.

“Small explosive charges placed in each hole and detonated in a controlled manner would provide the energy source to generate the seismic data”.

The proposed seismic survey will take between six and eight months and start about one year after the permit is issued.