The McCormack Road 1-15 well flow tested at 400,000 cubic feet of gas over a 14-hour period from an interval between 9814 to 9824 feet in the Petersen sand. Gas flowed to surface through a 12/64” choke at stable flowing pressure with no measurable water produced.

Orchard said it was too early for an accurate reserve estimate based on one well and that a better indication will be known when the well commences commercial production.

It is anticipated that the well will be commercially active in about a month. A gas sales pipeline tie-in location is also situated only about 70metres from the discovery.

McCormack 1-15 has been an out-and-out success for the company which only outlaid US$45,000 to obtain a 25% working interest in the new field gas discovery, which will be Orchard’s first commercial gas producing well.

The well is located in the most prolific gas producing area within California and a core area near where Orchard drilled its first exploration well in 2002.

“McCormack 1-15 represents a very good commercial result for Orchard as the flow rate and current high California gas prices combined with the adjacent accessible infrastructure to significantly enhance project economics,” said Orchard executive chairman Steve Graves.

The current gas price in California at approximately US$6.50 is almost three times higher than the average of around US$2.50 for Australian gas prices.

Participants in McCormack Road 1-15 include Orchard 25%, Matris Exploration Company 25% and the Nahabedian Exploration Group 50%.