China CBM Player Green Dragon Gas Reports Rise in H1 Sales

Green Dragon Gas’ first half sales volume rose by 62% on year and by 43% over the second half of 2015.

In H1 2016 Green Dragon, the China focused coal bed methane explorer, said it has continued to focus on the implementation of its infrastructure programme aimed at increasing gas processing and sales capacity from its existing drilled wells. 

The company saw H1 2016 sales peak of 6 mmcf/day (170,000m3/day) at GSS field, an increase of 18% compared to December 31, 2015.

Randeep S. Grewal, Chairman and Founder of Green Dragon, said the final challenge on GSS project is increasing gas sales by reducing casing pressure at the well bore on the currently drilled well stock where production capacity is significantly higher than the current gas sales. “I am satisfied with the first well head screw compressor installed on well GSS188, which has resulted in the 45% increase in its gas sales. As the proof of concept has been successful, we can now focus on repeating the same technological improvement on the rest of the well stock.”

Green Dragon has 549bcf of 2P reserves and 2379bcf of 3P reserves across eight production blocks covering over 7,566km² of licence area in the Shanxi, Jiangxi, Anhui and Guizhou provinces. It holds six Production Sharing Agreements with Chinese partners including CUCBM (CNOOC), CNPC and PetroChina.

It has 708 wells producing gas for sale across all blocks.

Downstream gas sales amounted to 1.07bcf, 42% up on the second half of 2015. 


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