Eastern Gas (ASX:EGA) has entered the target coal seam at its Project Venus in Queensland, recording gas shows as it advances towards an intersection with the existing Venus-1 well.
The Venus-2H horizontal appraisal well has encountered intervals containing up to 100% coal cuttings within the Macalister Lower coal seam, alongside total gas readings of up to 25.4%.
Under the program’s wellsite classification system, readings above 8% are labelled ‘excellent’.
The readings measure hydrocarbons released from coal cuttings during drilling and detected by surface monitoring equipment. Eastern Gas says the results indicate gas saturation along the well trajectory but do not establish potential production rates.
Managing Director David Spring says Venus-2H remains on its planned path towards Venus-1 and a 1,000m horizontal section.
“However, they are drilling indications rather than flow test results, and the productivity of the well will be determined through the planned dewatering and flow-testing program,” Spring says.
Venus-2H is at a measured depth of about 860m and is estimated to be 60m from Venus-1.
The drilling assembly includes a downhole ranging tool that measures the position of Venus-2H relative to the steel casing in Venus-1. The information will guide drilling towards the planned intersection point.
Once the intersection is completed, the company says it plans to continue drilling through the target seam to finish the 1,000m horizontal section.
Eastern Gas notes the integrated Venus-2H and Venus-1 well system will then undergo dewatering and flow testing to evaluate water production, reservoir pressure response, gas desorption, gas flow, and overall well productivity.
Project Venus has contingent gas resources of 87.7 petajoules (PJ) at the 1C level, 130.3PJ at 2C, and 157.9PJ at 3C. The company says the project also carries a best-estimate prospective resource of 536PJ. Contingent resources are not reserves, while prospective resources relate to undiscovered accumulations.
Write to France Pinzon at Mining.com.au
Images: Eastern Gas
