“We are looking for both another foundation asset and some three-to-five year assets that will keep our prospect inventory topped up,” Streitberg said in a CorporateFile Open Briefing.

“We are looking primarily in Australia but through Adelphi, we have also been looking at international projects.”

With Australian gas prices being very low, Arc is also seeking ways of adding value to its gas business, including small-scale liquefied natural gas, synthetic diesel and power generation.

“We have seen a number of coal seam methane producers in the eastern states which have gone down the power generation route with great success,” he said.

One such company is Arrow Energy, which is making power station developments integral to several of its CSM projects.

Arrow is also considering other ways of adding value to its gas.

“Once we’ve satisfied the needs of the Queensland market, we will look at selling gas overseas,” managing director Nick Davies told EnergyReview.net.

“We are looking at options such as CNG for the New Zealand market and methanol to sell to India or other Asian markets as a feedstock for chemical plants,” Davies said.

Streitberg said Arc was only at the feasibility study stages on all of its value-adding projects.

“We don’t know at this stage whether any or all of these projects will go ahead but we owe it to our shareholders to have a good look at them all,” he said.

“Arc is first and foremost an exploration and development company and we see these projects as add-ons to our business to diversify our revenue and leverage our dominant position in the Perth Basin.”