State Gas Spuds Queensland Well
Sydney-listed State Gas on December 15 spudded the first well in its phase-two exploration programme for the Reid’s Dome gas project in Queensland, it said in a statement.
The Nyanda-7 1 well is part of State Gas’ 100% owned Reid’s Dome gas project on PL231, located in the Bowen basin in Central Queensland. The second phase exploration and appraisal programme is being undertaken to bring gas to the Australian east coast market, State Gas said.
“Focused on the area around the highly successful Nyanda-4 well, the programme has been designed to provide additional data to secure a significant certified reserve booking and enable field development planning and infrastructure design for commercialisation of gas in the Reid’s Dome coalbeds in the area,” the company said.
Nyanda-7 is being drilled as a step out well to Nyanda-4, some 2.6 km to the south, where gas was produced at rates of 500,000 m3/day. The company said it plans to log the new well once it reaches a total depth of 1,200 m, and subsequently start production testing.
Nyanda-7 will be followed by at least three further production wells on PL231, with timing dependent on weather. State Gas expects to finish drilling at least two wells and begin production testing of three (including Nyanda-4), before the wet season arrives. The company also plans to sink two coreholes at its new Rolleston-West project (ATP 2062) in the new year. These wells will investigate the gas potential of the Bandanna coals in the eastern region of the permit.