The Australian independent also said that well testing, production facilities installation, and drilling on the project are progressing.
Simon Ashton, Strike's managing director, said that the testing program on the first two wells is advancing, with Shefcik 1 and Webernick 1 testing multiple zones at commercial rates. He added that both wells still have further zones to test before combined flow rates can be released. Daily production rates of test gas have been in the range of 2 to 7 million cubic feet per day, depending upon the zone being tested.
In the first two wells drilled to date, multiple commercial zones have been tested and potentially commercial zones have been recognized, Ashton said. Further zones will be tested in each of the first two wells drilled to date, and the company says this will continue for the next 4 to 6 weeks in addition to the testing of the Shefcik 3 well.
Based upon the testing results to date, the company expects the combined gas flow rate from all four wells (assuming the next well, Webernick 2, is also successful) will meet or exceed the 20 million cubic feet per day production capacity that can be handled with the existing processing facilities. A second gas sales pipeline connection has now been completed, increasing the sales capacity to around 12 to 13 million cubic feet of gas per day. A third sales pipeline, expected to be connected by mid-April, will increase the sales flexibility and raise the sales capacity to 30 million cubic feet per day.
Ashton said the fourth well in the program, Webernick 2, is now expected to spud within 1 to 2 weeks once routine rig maintenance is completed prior to the rig coming back on contract to the operator. The drilling, completion, and potential testing of the well are expected to take 60 to 80 days.
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