Empire Energy is ramping up its activities in the Beetaloo Sub-basin in the Northern Territory with its Carpentaria-1 well securing an encouraging post shut in average flow rate over 10 days of 0.364 million cubic feet of gas per day. The result is up 45 per cent from the pre-shut in rate and according to management, underlines the development potential of Empire’s Beetaloo Sub-basin acreage in the NT.
The company is now firing on several fronts in the Beetaloo and it is now set to commence drilling of the nearby Carpentaria-2H horizontal appraisal well.
Empire restarted production testing of the fracture-simulated Carpentaria-1 well in September after the initial tests in July were suspended due to COVID-induced travel restrictions.
The company says the increased production rates could be associated with the diffusion of water into the basin's shales that has increased the basin fractures, creating more gas production pathways.
Empire will incorporate the data from the latest round of well testing into reservoir completion and simulation packages developed specifically for the Beetaloo Sub-basin.
Management says the results from the Carpentaria-1 well will be used to identify key shale targets with its planned Carpentaria-2H appraisal well, that is set to drilled this month.
The company says the vertical component of Carpentaria-2H will look to target the same Velkerri Formation shales as Carpentaria-1.
Following the drilling of Carpentaria-2H, Empire intends to get an updated resource estimate from independent outfit, Netherland Sewell & Associates. Interestingly, the company says the new estimate does not require a flow test.
Empire Energy Managing Director, Alex Underwood said:
“We have received all key NT Government approvals for a broad appraisal program including the drilling of our first horizontal appraisal well, Carpentaria-2H, located 11km north of Carpentaria-1. Rig mobilisation to site has commenced and we expect to be drilling by the end of this month.
An infill seismic survey to better define the Velkerri shale resources across EP187 to enhance our understanding of the size of the resource and to delineate future drilling locations will commence in November”.
The Beetaloo Sub-basin is widely considered to be a world-class gas asset given its significant production potential, low carbon gas characteristics and high-quality reservoir properties.
Remarkably, there is strong alignment from both the Northern Territory and federal government to accelerate the commercialisation of the Beetaloo Sub-basin through infrastructure upgrades totalling over $170 million.
The Beetaloo Sub-basin’s gas potential has been well regarded for some time and with government support set to boost the basin's commercialisation, it just might end up front and centre of the next wave of energy developments. If Empire Energy can follow up its solid flow rates with another set of impressive numbers, the company could be set for centre stage.
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