Norwest Preps for Second Fracking Stage at Arrowsmith

Norwest Energy reported that the Arrowsmith-2 well is continuing to produce gas during the flow back and clean up of Stage 1, the High Cliff Sandstone (HCSS) target of the fracture stimulation program.

The gas flow rate is now steadily increasing as the water production rate drops, and overnight the well was diverted through the Expro separator in order to measure rates. Over a period of 40 minutes, Expro reported that the gas rate peaked at 777 MMscf/d, with an average rate over that period of 446 MMscf/d.

These reported rates are extremely pleasing, particularly as the well is still in the clean up phase of the program. Once the well has produced back the majority of the injected fluid, it is expected that the gas flow rate will further stabilize, and a more established rate of flow will be determined.

Norwest is now preparing for Stage 2 of the hydraulic fracture stimulation program – the Irwin River Coal Measures (IRCM) target. The IRCM is at a depth of 9,675 feet (2,949 meters) and approximately 1,083 feet (330 meters) thick in the vicinity of Arrowsmith-2, and is a hybrid shale/sandstone interval.

Norwest will continue to release a weekly update each Thursday for the duration of the activities on site, with operations expected to continue for another 5-6 weeks.

The participants in the EP413/Arrowsmith Joint Venture are:

• Norwest Energy NL (Operator) 27.945%
• AWE Limited (via subsidiary ARC Energy Ltd) 44.252%
• Bharat PetroResources Ltd 27.803%

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