Sino Gas & Energy Flows 4.93 MMscf/day of Gas from CBM Well in Linxing PSC

Sino Gas & Energy Holdings Limited (SGE) on Tuesday announced that a gas flow rate of approximately five million standard cubic feet (MMscf) per day has been achieved on the first horizontal well of the Linxing Production Sharing Contract (PSC) in Shanxi province in China.

The first horizontal well, drilled in late 2013, has been fracced in a five metre middle level zone in the south- western discovered area of Linxing (West).

Following a nine stage fracture stimulation treatment a gas flow rate of 4.93 MMscf/day was achieved, the company said.

According to Sino Gas & Energy, the testing of the first horizontal well result follows optimisation of the fracture stimulation treatment on three vertical wells on Linxing (West), and it is planned to be tied into pilot pipeline production program scheduled for later in the year.

The second horizontal well on the Linxing (West) acreage was spudded in late June and is now over halfway through drilling, the company announced.

Sino Gas holds a 49% interest in SGE through the strategic partnership with MIE Holdings Corporation. SGE is the operator of the Linxing and Sanjiaobei PSCs in the Ordos Basin, Shanxi province.