Highlights
• Pre-coring drilling operations completed on first three wells
• Coring operations to commence on Bogle-1 well
2009 CSG Drill Program Operations Update
L&M Petroleum Limited is pleased to announce that the pre-coring drilling operations have been completed on the first two wells in the Company’s 2009 coal seam gas (CSG) drilling program being undertaken in petroleum exploration permits, PEP 38226 (Waiau) and PEP 38238 (Blackmount) located in onshore Western Southland Basin on the South Island of New Zealand.
These first three wells, Bogle-1, Mt Linton-1 and Belmont-1 are programmed to further evaluate the Beaumont formation coals previously encountered in the Goodwin-1 and Wairaki-1 wells and to test the deeper, more gas rich, Morley coals in the central portion of the Takitimu South coal trend. At report time protective casing has been set and cemented into place in each of the wells ahead of the commencement of coring operations.
The Washingtons Exploration coring rig #4 is currently being rigged up on the Bogle-1 well. The Bogle-1 well has had protective casing set at a depth of 103m and is currently suspended at a depth of 300m awaiting commencement of coring operations, which is expected later today. The well is programmed to be cored from the current depth to the well’s programmed total depth of 585m. The coring operation is expected to take about nine days to reach the well’s programmed total depth.
The Mt Linton-1 well has had protective casing set at a depth of 102m and is currently suspended at a depth of 350m, awaiting commencement of coring operations, which will be undertaken to the well’s programmed total depth of 550m. The Washington’s core rig will be moved to the Mt Linton-1 well upon completion of the Bogle-1 well coring. Coring operations on Mt Linton-1 are expected to take about seven days to complete from commencement.
The Belmont-1 well has had protective casing set at a depth of 102m and is currently drilling ahead to its programmed coring depth of 190m, where the well will be suspended pending arrival of the Washington’s core rig. The core rig will be moved to the Belmont-1 well immediately upon completion of the Mt Linton-1 well coring operations. The Belmont-1 well will be cored from 190m to the well’s programmed total depth of 400m.
The CSG drill program will see up to a further four wells drilled this year, including the first stratigraphic wells programmed to confirm the extent of the Beaumont coals in each of the Takitimu North and Longwoods coal trends.
The drilling program is designed to confirm the coal seam gas potential in the Company’s onshore Western Southland Basin permits, which initial analysis indicates may hold up to 300 PJ of CSG potential resources.