Elixir ups Mongolia CBM Resource Estimate
Sydney-listed gas explorer Elixir Energy has increased its estimate for prospective resources for its coalbed methane (CBM) block in Mongolia, it said on December 9.
Risked best case prospective resources for the Nomgon IX CBM block have increased by 92% from the 2018 estimate to 14.6 trillion ft3, the company said, adding that the chance of geological success now stood at 30%, a 58% increase from the estimate two years ago.
“We are naturally delighted to see that our work over the last two years has delivered such a substantial increase in our prospective resources - with the best case nearly doubling,” Elixir’s managing director Neil Young said. “To achieve this level of de-risking of the asset with what in oil and gas terms has been a very modest outlay over a short period of time makes a real statement about how readily the enormous potential of the PSC [production sharing contract] might be realised.”
The Nomgon production sharing contract is located in the Gobi Desert on the Mongolia-China border.