Sino Gas & Energy Spuds Two CBM Wells in Ordos Basin

Sino Gas & Energy Holdings Ltd., has spudded the first two coalbed methane wells, LXSG-05 and LXSG-09, of the Linxing Production Sharing Contract (PSC), located in the Ordos Basin, Shanxi Province in China.

Each well is expected to take approximately 45 days to complete and core. The 170km seismic work program is well advanced with all data collection points now prepared across seismic lines, the company said.

The work follows completion of a $100 million strategic partnership between Sino Gas and MIE Holdings Corp.

Sino Gas, MIE Holdings, China National Petroleum Corp., and China United CBM Corp. hold interests in the Sanjiaobei and Linxing PSCs which total 3,000 sq km in Shanxi Province in the Ordos basin.