Transerv Reports Gas in Warro Field

Transerv Energy of Australia on Monday announced flowing of gas from the lower zone of the Warro-4 appraisal well in the Warro tight gas field in Western Australia.

The well has in the past week been flowing gas at an average rate of between 420,000 and 650,000 cubic feet per day through a two inch choke while yielding between 600 and 1000 barrels of liquids per day since the launch of testing on 21 September, the company said in an update.

The lower zone has shown that it is capable of flowing gas naturally without the need for a nitrogen lift, but it would not clean up on its own and the Joint Venture has decided to recommence nitrogen lift to accelerate the flows and the cleanup process.

A complete flow-testing program would need to be completed before it is possible to understand the likely performance of the Warro field.

The Warro field is an extensive and contiguous tight sand reservoir discovered by WA Petroleum (WAPET) in 1977. Independent industry expert Gaffney Cline estimated a P50 recoverable resource of more than trillion cubic feet based on a limited area containing estimated gas.

The Warro-4 well was drilled in May and encountered 230 metres of potential reservoir sandstone with strong hydrocarbon shows.

Australian mining giant Alcoa is funding the drilling and development of Warro-4 under an agreement, which will eventually provide it with a 65% stake in the field in return for spending up to A$100 million (US$98.5 million) on appraisal and development activities. Besides the operatorship, Transerv will retain a 35% interest in the project and the right to market separately its 35 per cent share of gas output.

Source: Transerv Energy