Positive results from extended production testing at the Amungee NW-1 well in the Northern Territory’s Beetaloo Basin have increased Origin’s understanding of the Velkerri dry gas play.

Average gas rates of 1.23 million cubic feet per day (1.23 MMscf/d) have been observed over the first three weeks of production testing, however importantly the majority of these flows came from only a portion of the well.

Specialist diagnostic equipment has been used to determine the extent to which these observed gas flows come from different fracture stimulation stages before or beyond a certain point in the well that was thought to be restricting the flow of gas across the  full production zone. Between 5%-15% of gas flow are coming from the stages beyond this point with the majority of flows measured, between 85%-95%, coming from the first 200m section of the well.

The result from this section, which has been independently verified, can now reasonably be considered to represent the deliverability that could be achieved across the full production zone of this and further wells drilled and fracture stimulated in the same Velkerri shale formation.

It suggests a normalised gas flow rate equivalent of between 5.2 and 5.8 million cubic feet per day (MMscf/d) per 1,000m of lateral. A typical future production well may have a lateral production section up to 3,000m long.

Origin General Manager Beetaloo and Growth Assets, Mr Chris White, said, “This is a  positive result that supports the decision to undertake a second extended production test at the Amungee well as part of this year’s work program.

“These results significantly increase our assessment of potential deliverability and commerciality of future wells in this area.

“While further work will be required in coming years to determine if the result can be reproduced on a larger scale, this result indicates the Velkerri dry gas play may be in line with commercial shale plays around the world, based on normalised production rates,” Mr White said.

The extended production test at Amungee is continuing.

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