Aolong JV Continues Drilling at Niaoshan-1, Yixin-1 Wells in China

Australia's Triple Energy Ltd. provided Tuesday the following update on the drilling activities on the Company's Aolong Joint Venture project in China's Heilongjiang province.

Niaoshan-1 Well

As of 10:00 am Sept. 21 the Niaoshan-1 well had reached a depth of 3,911 feet or 1,192 meters (measured depth) and had intersected what is interpreted as Seam #18, the last of the prognosed coal seams targeted in this well.

Seam #15 was not intersected and it is interpreted that this seam has been faulted-out at this location. This does not mean Seam #15 does not exist in the area but that a fault has intersected the seam at this location and hence the seam has been missed at this particular well location.

Coal seam #18 was intersected at a depth approximately in-line with pre-drill prognosis and 28 feet (8.6 meters) of coal core have been collected. Assessment of the core samples will follow laboratory analysis, as planned which is expected to take aroound two weeks.

The well is currently being prepared to run a Drill Stem Test (DST) as planned. Once this has been done, the well will drill a further 197 feet (60 meters) to allow room at the bottom of the hole for the running of the respective logging tools.

Yixin-1 Well

The Yixin-1 well has drilled to 121 feet (37 meters) and surface casing has been installed and cemented. The well will now be ready drill ahead to the first of four coal seams for coring and testing but is waiting on some equipment.


As previously mentioned, once all of the planned drilling program has been completed, the well will be prepared for fraccing (consecutively) and production testing assuming the core data indicates that this is recommended. Once fraccing has been completed, well-heads will be installed and production testing commenced, again assuming that the core data recommends this.

The core collected from the wells must first be analyzed for reservoir characteristics and gas content. It will only be after all of the data is collected and analyzed that an assessment of the commerciality of this project can be established and a decision to proceed with fraccing and testing can proceed.

To reiterate, the absence of Seam #15 in Niaoshan-1 well is not significant in itself as this simply means that this seam is not present at this particular location. It will likely be present either side of this well and investors may recall the same occurred in the 2013 well where a prognosed seam was also not present at that location.


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