The well is the second in a four-well CSM pilot program, designed to assess Juandah seam gas production potential.
An open-hole flow test (OFT) of the well, which included a conventional gas saturated sandstone unit, produced a maximum gas flow rate of 830 thousand cubic feet per day.
The Coxon Creek-3 well was drilled to a total depth of 407m.
“The Open Hole Flow Test results over the upper Juandah Coal Measures are in line with expectations, and confirm gas content in this section,” Sunshine said.
“Good permeability in the Taroom Coal Measures has once again been established with a good water flow rate recorded (1397 barrels per day), and with dewatering, these seams should begin to produce gas.
“The intersection of a gas-bearing sandstone, which tested with gas flow rates of up to 830,000 cfd, demonstrates the potential for conventional gas upside in the flank areas of Sunshine’s Roma Shelf properties.”
The Mitchell Drilling Rig 151 has now been released and is moving to the Coxon Creek-4 CSM pilot well, which is expected to spud by the end of the week.
Participants in ATP 336P and Coxon Creek 3 are operator Santos Group, which holds an 85% stake and Interstate Pipelines, a wholly-owned subsidiary of Sunshine Gas, which holds the remaining stake.