Gloucester Basin, NSW (PEL 285)

Lucas made its first coal seam gas investment in 2002 when it bought petroleum exploration licence 285 (PEL285) in the Gloucester Basin, approximately 100km north of Newcastle, from Pacific Power.  The investment, made in a 70%/30% joint venture with Molopo Australia Limited, was based on results from drilling done by Pacific Power, before the potential for coal seam gas was understood by the broader market. Lucas believed this asset was significantly undervalued. This was dramatically confirmed when it was purchased by AGL for $370 million in late 2008.

By applying the right technology and focusing on the fundamentals, Lucas took this project through initial exploration to appraisal and into the preliminary stages of commercialising its gas.

Sydney Gas

In February 2008, the Company acquired a 15% shareholding, later increased to 19.9%, in Sydney Gas Limited (SGL), thereby becoming its largest shareholder.

Late in 2008, AGL made a takeover bid for Sydney Gas. As part of the bid, Lucas pre-agreed to sell its shareholding to AGL. This sale was completed in early 2009.

Bowen Basin (ATP651)

Lucas held a 15% interest in ATP651 in Walloons on the Undulla Nose with the balance owned by British Gas and Queensland Gas Company, which is also the operator. 

In December 2009, Lucas agreed to sell this interest to Toyota Tsusho Corporation for $98.5 million.