The PEL 106 joint venture said pressure sampling of the gas pay was interpreted in a number of sandstones within the formation indicating each of these zones has elevated formation pressures consistent with the presence of gas accumulations.
Initial planning for production testing of the gas accumulation has commenced as a first step towards commercial development. Production testing will allow both flow rates and gas composition to be determined from which a recoverable reserve will be estimated.
“We have got several other prospects in the area that we will now run seismic over before drilling a follow-up well. The discovery has definitely given us greater confidence in the structure,” said GOG managing director Ray Shaw.
It is anticipated production testing will take place later this year or in early 2005. Participants in the block are Great Artesian Oil & Gas (75%) and Enterprise Energy (25%).
