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    Australian Mira Pilot Well Impresses

Summary

The Australian Mira pilot gas well in Queensland is continuing to register steady increases in gas flow rates with indications there’s more to come, equity partner Comet Ridge said February 7.

by: Nathan Richardson

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Natural Gas & LNG News, Asia/Oceania, Corporate, Exploration & Production, News By Country, Australia

Australian Mira Pilot Well Impresses

The Australian Mira pilot gas well in Queensland is continuing to register steady increases in gas flow rates with indications there’s more to come, equity partner Comet Ridge said February 7.

“Since the last operational update in mid-January, the pump speed has been increased slightly while the gas rate has continued its steady climb, recently passing 390,000ft3/d, with a strong upward trend,” Comet Ridge said.

On January 15, the well, which is a horizontal-vertical combination named Mira 6/2, saw gas flows pass 200,000ft3/d.

The project is close to infrastructure with pipeline connections to the domestic market as well as the seaborne LNG market via the export terminals at the Port of Gladstone. Along with Comet Ridge holding a 40% equity stake in the project – which is in the Mahalo Block in central Queensland, Australia Pacific LNG (APLNG) and Santos, which leads the Gladstone LNG project, each hold 30% interests.

APLNG brought the well online on December 10.

Comet Ridge managing director, Tor McCaul, said, “all technical data has now been provided to the independent reserves certifier to generate an updated assessment of 2P and 3P reserves for the Mahalo Block as a whole, and this work is progressing on schedule to be completed during the first quarter”.

RBC Capital Markets analyst Ben Wilson noted that the production rate is roughly three times the rate of the last horizontal pilot well, Mahalo 6/7, which was producing in the order of about 130,000ft3/d after the same period on pump. “We think a reasonable peak flow rate from Mira-6/2 should be in the region of [800,000 ft3/d-1,000,000 ft3/d],” he added.  He said RBC is expecting possible Mahalo gas sales and pipeline access deals ahead of phase 1 final investment decision this year.