QGC said current production rate at each of its Berwyndale South-60 and BS-9 wells were now said to be producing 2.5 million cubic feet per day.

Managing director Richard Cottee said on the basis of current production levels, the costs associated with the drilling and completion of the wells will be repaid by August.

More than half the wells at Berwyndale South were now said to be operating at their best weekly average and the company stated it expected to see “continued steady improvement”.

“The average flow rates per well are now 817,000 cfd compared with QGC’s original ‘banker’s case’ of 575,000 cfd using the same methodology,” Cottee said.

QGC said none of the wells were showing any signs of having peaked in terms of gas production.

The company also said 40% of the wells in the Berwyndale field did not require pumping, which resulted in substantial savings in terms of capital costs. Cottee added that the company had also reduced projected fuel costs at the field by 30%.

QGC is operator and majority owner of the project, with a 90% interest. Sentient Gas Australia owns the remaining stake.

The joint venture has an unconditional gas sales agreement with CS Energy to supply 4 PJ of gas a year for the next 10 years to the generator’s Swanbank E Power Station, near Ipswich in southeast Queensland.

Berwyndale South is QGC’s first gas field development and the CS Energy contract is its first commercial supply agreement.