Australian Gas Group Pty Ltd (AGG) is a company incorporated to source and acquire significant oil and gas fields both in Australia and Internationally. With an aim in Australia to convert the gas resources to reserves which produce natural gas then liquefied for the supply of LNG internationally, as well as for domestic power generation into the Australian market. The current natural gas exploration, development and production in Australia is predominantly from well established ‘conventional’ gas reservoirs, such as from the Cooper Basin in northern part of South Australia (operated by Santos and others), Bass Strait (operated by Exxon Mobil/BHP) and offshore North Western Australia operated by Woodside Petroleum and others. This has recently been supplemented by rapidly increasing production from ‘unconventional’ gas sources, such as coal bed methane (CBM) in Queensland, which accounted for the majority of Queensland’s domestic gas market and up to 30% of the total gas consumption on the east coast of Australia during the last year or so. This is a remarkable growth from being virtually nil just a little over 10 years ago. Based upon an in house analysis of unconventional reservoir potential of onshore Australia, AGG has identified several unconventional gas plays which contain very large potential gas resources. AGG expects these types of plays, similar to the USA experience, to contain vast amounts of natural gas and will be commercialised by the application of new technologies such as horizontal drilling techniques and multistage fracture stimulation. AGG’s main focus is to develop these large scale ‘unconventional’ gas resources in onshore Australia. To enable this to occur, AGG has:

Access to large new billion dollar markets for LNG overseas, Access to substantial capital resources Close associations with some very large International Oil Companies, and Access to expert knowledge of the potential of unconventional reservoirs in onshore Australia.

AGG is actively pursuing a number of leads in the process of securing unconventional gas prospects in onshore Australia, and to this end has established an office in Adelaide, South Australia. AGG has retained the relevant people to achieve its objective of acquiring a significant resource base as soon as possible. AGG has the support and encouragement from one of the major IOC companies in the USA. It is encouraging AGG to source and secure unconventional gas resources in Australia, with a view to working with AGG for the development of those reserves. AGG is encouraged by this major oil and gas company’s support as well as strong support from a very reputable banker/brokerage group.