EXPLORATION

Purus pushes ahead with Otway CSM exploration

OTWAY Basin-focused Purus Energy says it has completed coring and logging operations at another Hawkesdale coal seam methane well, in which 3.1m of coal was intersected at a depth of 605-664m.

Purus pushes ahead with Otway CSM exploration

Samples of the coal, which were placed in desorption canisters, will now undergo gas content analysis. These results should be known in about eight weeks, according to Purus.

Permeability field test data for the PHE-1 well has also been collected and sent for analysis, the results of which are expected in four weeks.

Following this operation, the United Drilling Services rig and the permeability testing unit moved back to the PGE No 4 well at the Gordon project area to undertake permeability field testing of the 3.9m of coal located at a depth of 836-847m.

Currently, the UDS rig is at Hawkesdale, where it is taking core samples of the PHE-2 well.

Meanwhile, the Mitchell Rig-124 has moved to the PHE-3 well to drill an exploration hole to a planned total depth of 1100m. Results from this hole will be compared with the other wells in the area to determine the potential extent of the coals in the Hawkesdale area, Purus said.

The company said results from permeability testing have been delayed due to the rig being commissioned.

Several weeks ago, Purus managing director Richard Sandner told EnergyReview.net that the project was making good progress and early indications were promising.

“We know the [Killara] coals contain gas, but the real answers will come from coring and the drill stem tests,” he said.

“Permeability is the key here – this is what’s going to either make or break the project.”

Gordon and Hawkesdale, located near Casterton and Warrnambool, respectively, are two of six projects identified by Purus for potential development in the Otway Basin.

If the initial drilling is successful, Purus plans to establish a trial gas field to determine the commercial viability of gas production through assessment of gas flow rates and other production parameters. Depending on the results, the board then plans to commission a bankable feasibility study for the full production and development of one CSM area, which could involve raising additional funds.

Commercial quantities of CSM could be brought to the market through the extensive network of natural gas pipelines in south-west Victoria, including the recently completed SEA Gas trunk pipeline from Port Campbell to Adelaide, which runs through the permit areas.

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