Strike Energy to Commence Fracture Stimulation at Cooper Basin Project

Strike Energy has completed planning for the upcoming fracture stimulation, completion and flow testing program at the Le Chiffre and Klebb wells in PEL 96 in Cooper Basin in Australia.

“To enable the fracture stimulation design to be finalised, the deepest stages at both Le Chiffre 1 and Klebb 1 have been perforated and diagnostic formation injection tests (DFIT) undertaken. Results from these tests have indicates that formation permeabilities in these zones are in excess of the Company’s expectations and the frack design will be modified accordingly. Formation permeability across all coal intervals is a key factor in the potential commercialisation of our gas resource. Pumping operations are expected to commence at Le Chiffre 1 later this week,” Strike said.

Company’s Southern Cooper Basin Project is initially targeting the coal seam gas potential within permits PEL 94, PEL 95 and PEL 96. Strike estimates that approx. 75% of the 8.2 to 21.5 Tcf prospective resource in this area is associated with the coal.

“We are pleased to now be commencing this next phase of evaluation of the Southern Cooper Basin Gas Project. While the initial DFIT results are encouraging, the frack and flow testing program needs to be completed to better understand the productive potential of the coals in PEL 96,” Managing Director, David Wrench, said.

A significant upgrade to the prospective resource was made by the company in 2012 after high gas content and thick coal was encountered in the Marsden 1 and Davenport 1 wells.

According to Strike, the project is ideally positioned to supply the Eastern and Southern Australian gas markets with open-access pipelines passing through the permits.