State Gas Limited (ASX:GAS) has been appointed Preferred Tenderer of substantial new acreage in the latest Queensland Government Petroleum Land Release. West of Rolleston in Central Queensland, Block 5 surrounds the northern part of the Company's existing 100% owned PL231.
State Gas Limited
State Gas Limited (ASX:GAS) is a Queensland-based developer of the Reid's Dome gas field (PL 231), which includes both CSG and conventional gas, originally discovered in 1954 during oil drilling prior to the existence of a pipeline network and an east coast gas market. The Reid's Dome field is located in the Bowen Basin in Central Queensland on the apex of the Springsure-Sericold Anticline. State Gas is sole Operator of PL 231, which is well-located 30 kilometres southwest of Rolleston, approximately 47 kilometres from the Queensland Gas Pipeline.
State Gas Limited (ASX:GAS) advises that it has received firm commitments to undertake a private placement to sophisticated investors raising $9.5M. In addition, the Company is undertaking a Share Purchase Plan targeting a further $2 million.
The Company is pleased to disclose by way of interim update that, during the past two days since that last report, gas flow rates from Nyanda-4 have continued to increase significantly, with a record flow rate in excess of 310mscf/d achieved.
During the year, State Gas Limited (ASX:GAS) successfully embarked on the production testing of Nyanda-4 in the southern portion of the 100% owned PL231, Serocold-1 in the central portion and testing of Aldinga East-1A in the northern reaches.
State Gas Limited (ASX:GAS) advises that gas flow rates at its Nyanda-4 well at the Reid's Dome Gas Project (PL231) have increased exponentially since the Company's last production update on Friday, 11 September.
State Gas Limited (ASX:GAS) is pleased to advise that gas flow rates at its Nyanda-4 and Serocold-1 wells continue to build, with the Nyanda-4 well this morning flowing gas at 128 mscf (or 128,000 standard cubic feet) per day.
State Gas Limited (ASX:GAS) is pleased to advise that gas flow rates from its Nyanda-4 well have now exceeded 100 mscf (or 100,000 standard cubic feet) per day. This encouraging milestone was achieved over the weekend; since then rates have continued to increase, with the gas flow rate yesterday recorded at 114 mscf/d.
State Gas Limited (ASX:GAS) advises that production testing of the Reid's Dome Beds at its 100%-owned PL231 project is continuing, with the gathering of additional data to support pipeline development, planning and gas production.
State Gas Limited (ASX:GAS) has been investigating the potential for a significant coal seam gas (CSG) resource within the Reid's Dome Beds at its 100%-owned PL231 project, since its Nyanda-4 well encountered gas in 38 metres of net coal and 25 metres of carbonaceous shales during drilling in late 2018.
State Gas Limited (ASX:GAS) refers to its recent announcements1 in relation to its operations at the Reid's Dome Gas Project (PL 231) and provides this update of the production testing of the Nyanda-4 and Serocold-1 coal seam gas wells and volumetric estimation of the Reid's Dome Gas field.