International petroleum consultants Netherland, Sewell & Associates has estimated 212 petajoules (PJ) of 2P reserves within the lease compared to the previous figure of 72 PJ.
CH4, which is 87% owned by Macquarie Bank, said the announcement comes amid strong production results from two recently completed wells - with one well producing in excess of a million cubic feet per day.
CH4 told the exchange its recent drilling program has encompassed an additional 21 exploration wells and two production wells drilled since November last year. Its Grosvenor gas field now has five wells in production with a total of more than 600 days continuous production from earlier wells.
The reserves upgrade and recent signing of a gas sales agreement with Enertrade, which will see CH4 supply up to 290 PJ of gas over a period of 15 years to the Townsville power station, are seen as key milestones for the company, which is now in the middle of a $60 million capital raising and also on the lookout for a chief executive officer.
