Drillsearch Commences Extended Production Test in Australia
Drillsearch updated that the extended production test for the Brownlow Wet Gas Discovery has commenced and was sampled at a rate of 10 million cubic feet of gas /day through a 24/64" inch choke. The well is also producing significant gas condensate at a rate of 120 barrels of condensate per day. After sampling the well has been opened up and is currently flowing 18 MMscf/d through a 1" inch choke.
On discovery, the Brownlow-1 exploration well confirmed gas pay in a-7 meter thick sand in the Permian mid-Patchawarra Formation. Pressure data taken at the time indicated a total gas column up to 30 meters in height. The purpose of the extended production test is to help confirm the overall potential gas resources within the discovery, the quality of the reservoir sands and the long-term flow and deliverability of the discovery. Condensate production from the test will be recovered and sold via the Moomba oil terminal facilities.
The Brownlow Wet Gas Discovery is located in PEL 106 Beach Farmin Block and was drilled by Beach Energy in November 2008 as part of their farmin work obligations. These farmin obligations were completed as of July 2009.
The Brownlow Wet Gas Discovery is located approximately 55 km NW of Moomba, 6.3 km NW of the Raven Wet Gas Field and 2 km north of the Middleton Wet Gas Discovery. Both the Raven and Middleton-1 wells flowed wet gas at high rates. On extended production test Middleton-1 flowed at rates of 12.4 million cubic feet and 115 barrels of condensate per day on extended production testing.
Drillsearch and Beach will also conduct an extended production test on the Canunda Wet Gas Discovery located 11 km north of the Brownlow Wet Gas Discovery.
Significantly, the Brownlow Wet Gas Discovery has the potential to be a large stratigraphic trap, with 3-way dip closure. Stratigraphic traps are, by their nature elusive and difficult to identify, but represent an important new play concept for oil and gas discoveries in the Cooper Basin.
In PEL 106B Beach Farmin Block and the adjacent 100% DLS-held PEL 106A, Drillsearch and Beach have indentified over 20 prospects containing these stratigraphic traps representing a prospective resource (Best Case) potential of up to 200 BCF sales gas and 8 mmbbls of condensate as previously detailed in the company’s ASX release of 27 October 2009 (the resource estimates contained in this ASX release are supported by an independent review provided by Gaffney, Cline & Associates - the "GCA Report").
PEL 106 Beach Farmin Block is held 50% Drillsearch and 50% Beach as operator. Drillsearch holds the gas marketing rights for the PEL 106 Beach Farmin Block.
Managing Director Brad Lingo stated, "With the successes we have had with Beach Petroleum in PEL 106B Beach Farmin Block we are looking to significantly expand our drilling activity in this area as soon as the flooding subsides and weather permits. We are actively working up multiple new drilling locations both in the Beach Farmin Block which we are keen to discuss with Beach and in the Drillsearch 100%-held PEL 106A area."
"With the results achieved at Middleton, Udacha and Brownlow wet gas discoveries so far and the adjacent results in the Raven Wet Gas Field we believe we hold a significant position in a Western Flank Wet Gas Fairway which can anchor significant new wet gas developments. We have already completed a significant gas commercialization study with Gaffney, Cline & Associates that has outlined a number of attractive development options which we are keen to progress."
"The commencement of the Brownlow Wet Gas Discovery extended production test is a major step forward towards progressing these developments. We will be following up on the Brownlow test with extended production testing at the Canunda Wet Gas Discovery which if successful will help extend this play further north from the Raven-Middleton-Brownlow-Udacha wet gas play fairway."
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