Bass Oil has landed a $3.5 million grant from the South Australian Government to fund a production pipeline for its 100% owned Kiwi gas project, aiming to connect it to Cooper Basin infrastructure and boost domestic gas supply by 2028.
- South Australian Government awards $3.5 million grant
- Funding targets Kiwi gas pipeline construction
- Kiwi field holds over 1 million BOE 2C resources
- Final Investment Decision expected by late 2026
- Project supports new Triassic gas play in Cooper Basin
Grant Boosts Kiwi Gas Project Infrastructure
Bass Oil Limited (ASX:BAS) has taken a significant step forward in developing its liquids-rich Kiwi gas field with a $3.5 million grant from the South Australian Government. This funding, part of the State’s Gas Grant Initiative, is earmarked for constructing a production pipeline that will link Kiwi to the Cooper Basin’s existing gas gathering infrastructure. The grant agreement includes an upfront payment of 25% upon signing, providing immediate capital to accelerate engineering and geoscience work.
Kiwi Field’s Production Potential and Strategic Location
Kiwi holds over 1 million barrels of oil equivalent (2C) and represents a promising new liquids-rich Triassic gas play in northern South Australia’s Cooper Basin. A production test in late 2024 demonstrated commercial rates of 4.1 million cubic feet per day of gas and nearly 1,000 barrels of condensate daily, with wellhead pressure limited only by onsite storage capacity. This performance underscores the field’s potential to contribute meaningfully to South Australia’s domestic gas supply.
The project aligns with the State Government’s objective to bring new gas projects online by 2028, aiming to strengthen energy security amid global market uncertainties. Bass has already initiated detailed studies and is targeting a Final Investment Decision by late 2026, while exploring funding options to fully realise the project’s potential.
Bass Oil’s Broader Production and Development Context
This grant complements Bass Oil’s recent operational momentum, including a 245% surge in April sales revenue driven by Cooper Basin production and upcoming drilling activities in Indonesia. The company is also advancing acquisitions and development in the region, with the Vanessa gas field acquisition nearing regulatory approval and the Bunian 6 well spud imminent. These developments reflect Bass’s strategic focus on expanding its gas portfolio and production scale across multiple basins.
Engineering progress on Kiwi’s pipeline and integration with Cooper Basin infrastructure will be critical to unlocking the field’s value. The grant not only validates the project’s significance but also highlights the emerging Triassic gas play as a key component of South Australia’s energy landscape. Investors may watch closely as Bass navigates funding and technical milestones ahead of its late 2026 investment decision.
Bottom Line?
Bass’s $3.5 million grant marks a pivotal funding milestone for Kiwi’s pipeline, but full project financing and execution remain key hurdles before production can scale.
Questions in the middle?
- Will Bass secure additional funding to complete Kiwi’s pipeline construction?
- How might Kiwi’s development impact Cooper Basin gas supply dynamics by 2028?
- What are the risks to the Final Investment Decision timeline given technical and market uncertainties?