Molopo said over the past two and half weeks, the well averaged 472,000 cubic feet per day (cfd) while it is currently producing 700,000 cfd.

"Current flow rates from the Mungi-4 well are considerably higher than the anticipated minimum threshold required for the commercial development of the Mungi field," the company said. "The coals are not yet fully dewatered and continued testing is required before long-term production estimates will be made."

Interest holders in the Mungi Prospect are Oil Company of Australia (50% -operator), Molopo Australia NL (25%) and Helm Energy-Australia, LLC (25%).

Molopo also announced that it has started drilling the Timmy-1 well in ATP602P, which represents the vertical and first of two wells for the Timmy surface to in-seam (SIS) appraisal program.