Oz Elixir Updates on Mongolian CBM Operations

Australia-listed but Mongolia-focused coalbed methane (CBM) explorer Elixir Energy has signed a seismic services contract with Mongolia’s Micro Seismic, it said June 5.  

The contract will cover a approximately 120 km 2D programme that targets specific drilling leads, rather than prospects, and is scheduled to commence post final regulatory approvals. Elixir operates 100% owned Nomgon IX CBM PSC in Mongolia.

Elixer has also recently received formal responses to its drilling tender process which closed last week. There were five respondents, which comprised one international drilling company and four Mongolian companies.

The drilling campaign, comprising up to three fully tested CBM coreholes, will closely follow the seismic programme and is currently expected to commence in or around September 2019.

The approvals process continues to progress, it said, with the company recently completing a Detailed Environmental Impact Assessment (DEIA) for the Nomgon IX area and which has now been lodged it with the ministry of environment and tourism for review and approval.

The ministry’s sign-off of the DEIA is the final regulatory approval Elixir requires prior to the commencement of physical exploration activities, the company said.