In a statement yesterday, Westside chief executive Stephen Cullum said that pumping, wellhead and monitoring equipment had now been installed at the Tilbrook CSM pilot wells, south of Collinsville.
“Before commencing the extended trial in the new year, WestSide will conduct a short production test over coming weeks to assess water quality and production rates to allow completion of the water management strategy and facilities,” Cullum said.
The pilot includes two appraisal wells – Tilbrook-7 and Tilbrook-8 – as well as two observer wells – Tilbrook-4 and Tilbrook-6.
The two appraisal wells will be subjected to an extended production test from early 2008, with reservoir pressure and differential seam production monitored from the observation wells.
Cullum said the Tilbrook-7 and Tilbrook-8 well logs showed encouraging signs for a positive gas response.
“The logs show we’ve got good access to a number of seams in the measure and we anticipate high water production for a reasonable period before seeing our first sustained gas flows” he said.
The Tilbrook wells are designed to test CSG production from the Moranbah coal measures and have been completed to depths of up to 600 metres
Elsewhere in the Bowen Basin, WestSide and Sunshine expect to start drilling the two final appraisal wells at the Paranui CSM pilot ATP 769P next month.
Drilling at the site was suspended in September due to a series of drilling equipment failures at the first two wells.
Recent central Queensland rains have rendered the site inaccessible on a number of occasions.
The four-well Paranui pilot will include three appraisal wells – Paranui-4, 5 and 6R – in addition to an observer well – Paranui-7).
The appraisal wells will undergo production tests when completed, with two of the wells to be subjected to fracture stimulation.
The Paranui wells are designed to test CSM production from the Baralaba coal measures and have been completed to depths of up to 1000m.
WestSide reported encouraging gas shows from Paranui-7 and Paranui-6R while they were being drilled.
Sunshine farmed-out a 50% stake and operatorship of the two permits, containing the Tilbrook and Paranui CSM pilots, to WestSide earlier this year.
WestSide listed in January after raising $29.5 million through an initial public offering to fund the development of its CSM and downstream ammonia production operations.
The company has said it believed the ammonia market will continue to strengthen in the region as demand for ammonia nitrate increases along with the demand for ammonia-based fertilisers.
