Sino Gas & Energy Holdings Limited (Sino Gas, the Company) reported Thursday that a flow rate of 1.2 million standard cubic feet per day (MMscf/d) has been achieved from an unfracced lower zone of TB-26 on the Linxing Production Sharing Contract (PSC) in China's Ordos Basin.
A lower 13 foot (4 meter) pay zone was perforated on TB-26 in the prospective north-western portion of Linxing (West). Flow testing conducted over 4 days achieved a stable flow rate of 1.2 MMscf/d at a relatively stable flowing tubing head pressure of 1,740 psi (approximately 1.66 MMscf/d calculated at standard field pressure of 200 psi). The well has now been shut in for pressure build up testing, which will continue for approximately 10 days to gather reservoir information for Chinese Reserve Reporting purposes.
Commenting on the flow testing results Sino Gas’ Chief Operating Officer, Frank Fu said that the result was particularly encouraging, given that the testing was conducted in the prospective area of Linxing (West), which currently does not have any contingent resources or reserves assigned. The flow test was also conducted on a less prolific lower zone, with these results representing a tenfold increase from that of the previous test, he added.
Exploration disclosure for the testing result of TB-26 is detailed below:
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