Sunshine Reports Gas Flow Milestone at Lacerta

Sunshine Gas Limited said that its Lacerta 7 well in Queensland (ATP 795P) has been successfully brought on production as the first of four initial pilot production wells on the Lacerta Field to undergo testing.

At start up the well recorded an un-stabilized water rate of 850 barrels a day. The pumps have been started at a low RPM, which when increased will see a rise in water production.

The water was accompanied by a free gas flow that is also expected to increase as dewatering progresses.

Managing Director Tony Gilby said completion of Lacerta 7 and the resulting gas/water flows represented a "milestone achievement" for the company in relation to development of the field.

"We are very encouraged by this initial production rate and expect the gas flow rate to gradually increase as the coal is progressively dewatered," Mr Gilby said.

The commencement of production testing coincides with the previously announced activity program on the field.

This program includes 16 core holes to delineate and quantify the Lacerta resource and a further 8 Pilot wells to assist in the certification of 2P reserves.

ATP 795P: Sunshine Gas 100% Working Interest

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