A gas field first explored in 1989 has suddenly become a major hope in helping Austria regain its energy security.
A major gas find in central Austria is being touted as a way for the country to end its dependency on imported Russian gas. The Welchau-1 test well 100km east of Salzburg has tapped what is estimated to be an 800 billion cubic foot gas field located conveniently near to existing gas pipelines running through the Alps.
A partnership between ADX Energy and MCF Energy drilled in a region explored by OMV in 1989. According to an MCF Energy press release, the field was deemed uneconomical for exploitation at the time. However, rising gas prices and fuel security concerns now make developing the field economical.
Technical aspects
MCF Energy notes that drilling went smoothly and faster than expected with minimal ecological disturbance. A thick geographic layer above the area of interest helps cap the field. The drilling team found gases ranging from Methane (C1) to Iso Pentane (C5) and a strong smell of gasoline was reported in unwashed samples. The field is relatively near the surface and reaches a bottom at 1645 meters. The Welchau prospect is thought to be larger than 100 square kilometers overall.
Geopolitical Aspects
The discovery comes at a time when Austria is struggling with the consequences of its Russia-oriented gas policy. OMV had decided to work with Gasprom for decades instead of domestic fields such as Welchau, and OMV is part-owner of gas fields in Siberia. However, Russia supplies over 50% of Austria’s gas, and OMV has a contract to accept gas from Gasprom until the year 2040. Austria’s Ministry of Energy s looking for legal ways to force OMV to end the contract, and OMV stated in February 2024 that they see no way for that to happen at this time.
Logistical Aspects
Physically getting gas from Russia to Austria is not as secure a prospect as it used to be. Russia’s petrochemical and gas infrastructure relies on western technology to keep it moving. That same infrastructure is also fair game for attack by Ukraine. At the same time, the contract between Russia and Ukraine to transport Russian gas via Ukraine to other countries has ended with the Russians not wishing to renew the contract.
Between broken infrastructure, nationalization, and transport issues, the possibility of a break in service cannot be discounted. Austria’s energy security is at stake.
Argomenti
