Aug 2022 upstream article: Australia’s search for world-class shale gas resource remains in focus
Several drilling and flow test operations are under way in the Beetaloo basin
15 August 2022 2:34 GMT UPDATED 17 August 2022 14:58 GMT
By Russell Searancke in Wellington
Australia’s attempt to prove up a world-class shale gas resource in the Beetaloo basin is ongoing with operators Empire Energy and Santos returning positive flow test results from their current wells.
Santos has an ongoing two-well operation at the Tanumbirini field where its project partner on Monday said the latest flow test rates on the 2H and 3H wells have increased to 7.4 million cubic feet per day of gas and 4.3 MMcfd following the installation of production tubing.
The flow rates are much higher than corresponding rates in January 2022.
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The plan is to continue flow testing the 2H and 3H wells over the coming months to gather more information on the Mid-Velkerri B Shale formation, said co-venturer Tamboran Resources.
“The increase in flow rates in the T2H and T3H wells highlights the significant potential of our ‘core’ acreage position within the Beetaloo sub-basin, which benefits from the higher pressures associated with the deeper reservoir found in the region,” Tamboran chief executive Joel Riddle said.
“Significantly, the flow rates achieved from the T3H well are the highest sustained rates from a single well over an eight-day flow test within the basin to date, despite the well not being optimally stimulated.”
Empire’s results
Empire Energy has also reported “strong initial” gas flow rates from its Carpentaria-2H well of 2.6 MMcfd over the first 91 hours of flow testing with minimal decline in gas flow rate over this period. Flow testing is continuing.
Data being collected and analysed by Empire’s technical team will be incorporated into the completion design for the upcoming Carpentaria-3H well.
Empire said the early results are providing management with enhanced confidence that the project will be commercially viable.
Empire managing director Alex Underwood said: “This is an outstanding result for Empire and our shareholders and a historic moment in the advancement of the Beetaloo basin.
“As previously announced, the primary goal of the Carpentaria-2H stimulation and flow testing programme is not to achieve maximum flow rates but rather to assess which of the four fluid systems trialed — crosslink, high-viscosity friction reduce, hybrid and slickwater — is likely to provide the best production performance in the Beetaloo basin’s shales and to optimise our completion methodology.”
Other operators
A joint venture between Origin Energy and Falcon Oil & Gas is also active in the Beetaloo, while Tamboran is preparing to spud its first operated exploration well.
Meanwhile, Origin’s and Falcon’s activities on the Amungee field in the Beetaloo in 2022 are aimed at supporting a multi-well pilot programme in 2023 and 2024.
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Elsewhere, Tamboran, has received the final regulatory approval to drill the Maverick-1H (M1H) well, starting in early next month.
The drilling rig Ensign 970 is currently being mobilised to the M1H well site.
Riddle added: “We are pleased to obtain the final approval allowing us to commence drilling activities of our high-impact M1H well within our 100% owned and operated EP 136 permit.
“The Environment Management Plan approves Tamboran to drill up to seven wells within the permit, also allowing for the drilling of the Maverick 2H and 3H wells currently planned for calendar year 2023.”
