As part of the CS Energy farmin appraisal program, operator Arrow Energy is planning to twin the centre well in the pilot and complete the new well using bigger surface equipment and a larger pump installed at a lower level.

The new pumping equipment has been ordered and drilling of the well is planned after the drilling of the next two wells on the Tipton West CSG pilot.

The new work is expected to substantially improve the gas flow rates and, in particular, the performance of the central well.

In August Arrow secured up to $12.03 million in funding from CS Energy towards development of the Kogan North project. CS Energy funded 95% of the costs of the project appraisal, and now can earn up to a 50% interest in the project area by funding the development costs up to a further $10.8 million.

Arrow is aiming to supply CS Energy with gas from early 2005 although gas has been produced from the Kogan North Gas project pilot plant since February 2003.

Interests in the Kogan North CS farmin areas are Arrow 95% and CS Energy 5% (CS Energy earning up to 50%).