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    Oz Duo Report "Exceptional" Gas Flows

Summary

The pair believe West Erregulla could flow some of the cheapest gas in Australia.

by: Joseph Murphy

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Oz Duo Report "Exceptional" Gas Flows

Australian partners Strike Energy and Warrego Energy have reported “exceptional” flow tests at the West Erregulla field in the onshore Perth basin of Western Australia.

The pair have completed multi-rate flow tests at the West Erregulla-2 well in the EP469 concession, they said in statements on October 25. Three intervals totalling 48 metres were tested in the Kingia sandstone reservoir at depths between 4,799 and 4,951 metres. The well flowed at a rate of 69mn ft3/day over a one-hour period, the companies said.

“The flow test results from West Erregulla-2 have exceeded our initial expectations and demonstrate the exceptional quality of the Kingia reservoir in terms of porosity, permeability and pressure,” Warrego Energy CEO Dennis Donald said. “This test further validates our view that West Erregulla is one of the best resources in the onshore Perth Basin.”

“Flow rates of this nature supports Strike’s view that West Erregulla, as a function of its size and quality, may indeed produce some of the lowest cost gas in Australia,” Strike CEO Stuart Nicholls added.

The pair will incorporate data from the flow test into geological models, and they expect to update their contingent resources for West Erregulla as a result. They are looking to reach a gas balancing agreement and are considering options for marketing the field’s gas. Further delineation wells and 3D seismic surveys will be completed at EP469 next year..

“Only 1/3 of the EP469 Block area has been mapped by 3D seismic and we are optimistic that further West Erregulla-like resources will be identified during the 2020 campaign,” Warrego’s Donald explained.