Challenger Energy Close to South Africa Shale Exploration Deal

Challenger Energy is closer to finalising exploration right application for Cranmere project after the South Africa lifed moratorium on shale gas exploration in the Karoo Basin.

Proactive Investor Australia has reports that the 1 million acre (4,047 square kilometres) project is centred around Cranmere CR 1/68, the only well in the entire Karoo Basin to flow significant gas to surface. The well had flowed more than 8 million cubic feet of gas per day from a 158 foot (48 metre) shale interval in 1968.

As per the U.S. Department of Energy South Africa has 485 trillion cubic feet of risked technically recoverable shale gas resources in the Karoo. This worked out to an average of about 6.8 billion cubic feet per square mile, or about 8.5 trillion cubic feet across Challenger’s application.

However, Challenger noted its application area is located in the heart of the Karoo Basin, which contains thicker and deeper shales that are expected to exceed basin average.