The statement from MHA Petroleum Consultants of Denver in the United States also assessed proven (1P) reserves were at 44PJ, a huge leap from the previous figure of 1.7PJ.

Proven, probable and possible (3P) reserves have been assessed at 1097PJ, up from 895PJ.

This represents a 109% increase in 2P reserves and 23% increase in 3P reserves.

Sunshine Gas said the rapid increase in 1P reserves was made possible due to the inclusion of additional pilot well data not part of the initial reserve assessment.

“Strong pressure communication seen between these pilots and surrounding monitoring wells provides confidence in coal continuity and ultimate well drainage,” the company said.

Managing director Tony Gilby said the significant uplift in 1P and 2P reserves from the Lacerta field’s production appraisal program had exceeded the company’s expectations.

“We have now drilled 16 pilot wells and knew from their geographic locations and flow rates that we had a quality resource in Lacerta, but this reserve upgrade has demonstrated just how good the field really is,” he said.

The company is now finalising marketing to underwrite Lacerta’s development with gas sale agreements, according to Gilby.