Empire Oil & Gas Upgrades Red Gully Gas Reserves

Empire Oil & Gas has announced an increase in proven gas and condensate reserves for the B Sand of the Red Gully-1 well, in Production Licence-18 in the Northern Perth Basin, Australia.

The Red Gully-1 B Sand has been in production for approximately seven months. As per latest evaluation, as on January 1, 1P gas reserves are up 35.4% to 8.39PJ and 2P gas reserves are up 46% to 14.53PJ.

CEO Ken Aitken said, “The significant increase in Red Gully reserves is excellent news and justifies Empire’s belief in Red Gully and its purchase of ERM’s 23.61% interest in the Red Gully field. These additional reserves significantly increase the overall value of the Red Gully project.”

This 2P reserve upgrade provides the board with increased confidence that the Red Guly B Sand has more than sufficient reserves to cover Tranche 2 of the Alcoa contract, he said.