Falcon Oil & Gas Ltd has provided the following technical and operational update for its operations in the Beetaloo Basin, Australia.
2015 Drilling Programme - Technical Results
The results from the in-depth shale evaluation program and petrophysical analysis of the three wells drilled in 2015 confirm the following:
The Middle Velkerri and Kyalla shales offer stacked play fairways with continuity over a large proportion of the Beetaloo Basin and in various maturity windows (dry gas to liquid).
Three pervasive, organic rich shale intervals were identified and characterised within the Middle Velkerri formation with excellent reservoir and completion quality. The identified "B" and "C" shales have thickness in excess of 40 m each.
Amungee NW-1H, the first horizontal well in the programme landed in the Middle Velkerri "B" shale encountering excellent gas shows and represents a highly prospective candidate for multi-stage hydraulic fracture stimulation.
Core analysis confirmed that the Middle Velkerri shale is organic rich, with average Total Organic Content of 3%-4% and is gas saturated.
Diagnostic Fracture Injection Test data revealed that the Middle Velkerri shale is 20% -25% overpressured. Favourable geomechanics indicates good frackabability within the Middle Velkerri shale.
Estimated gas in-place density ranges within the Middle Velkerri shales are comparable to successful North American shale plays.
2016 Drilling and Testing Programme – Objectives
The plans of the 2016 Beetaloo drilling and testing programme comprise:
Testing gas productivity of the Middle Velkerri shale from the horizontal Amungee NW-1H well.
Proving the areal extent of the Middle Velkerri shale gas play towards the southern part of the Beetaloo Basin.
Testing of the shallower, condensate rich gas mature sections of the Middle Velkerri shale on the northern basin flank through drilling the second vertical well in 2016, located approximately 35km north of the Kalala S-1 and Amungee NW-1H wells within exploration permit 98.
2016 Drilling and Testing Programme - Operational Schedule
Preparations for the joint venture's 2016 drilling, testing and hydraulic stimulation programme are progressing and on schedule.
Civil works at the Beetaloo W-1 vertical well are expected to commence mid-May 2016 with spudding expected 3Q16.
Philip O'Quigley, CEO of Falcon, commented: "I am delighted to update the market on the results of the in-depth shale evaluation program and petrophysical analysis carried out of all the technical data gathered on the three wells drilled during 2015. The results confirm early indications, as previously communicated, that this is a highly prospective basin. Falcon's shareholders can look forward to another exciting year of exploration activity which has the potential to transform the value of your company. Falcon remains fully carried throughout 2016 by our partners Origin and Sasol."
Edited from press release by Angharad Lock
Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/28042016/beetaloo-drilling-programme-update-3144/