Partners Santos Ltd (65%) and Magellan Petroleum (35%) said the development wells, East Mereenie-43 and West Mereenie-18 were designed to increase gas deliverability from the field to meet future contracted gas quantities.
East Mereenie-43 will be drilled with air/foam into the gas-producing Ordovician formation to minimise damage, according to a Magellan announcement.
The Mereenie field is located 240 kilometres southwest of Alice Springs, Northern Territory. It has been producing since 1987 with over 60 wells having been drilled on the field. It is currently producing around 1000 barrels of oil per day (bopd) and around 30 million cubic feet of gas per day.