Santos to Commence Workover at Mahalo 7 Well in Australia's Bowen Basin

Coal seam gas explorer and developer Comet Ridge Limited provided Wednesday an operational update on the progress of the Mahalo 7 horizontal surface to in-seam well project in ATP 337P Mahalo Block in Queensland's Bowen Basin, Australia.

As previously announced, due to the decrease in pump efficiency the production of water from the Mahalo 6 production well slowed, despite the speed of the pump being increased, the Joint Venture approved a workover of the well to replace the downhole pump, and return the well to production.

Comet Ridge was initially advised by the Operator (Santos QNT Pty Ltd.) that the workover was scheduled to commence July 18.

Due to operational and scheduling delays associated with the Rig that was scheduled to carry out the work, the Operator has advised that another Rig has been allocated to the program in order to avoid further delays. The Operator has advised that the current expected commencement date for the workover is July 27.

Whilst Comet Ridge has been disappointed with the time it originally took to design and schedule the workover, it is hoped that the allocation of the new Rig provides a firm date for commencement of this workover.

Equity participants in ATP 337P Mahalo are Comet Ridge Mahalo Pty Ltd. (40 percent), Australia Pacific LNG Pty Ltd. (30 percent) and Santos QNT Pty Ltd. (30 percent).


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