Reid's Dome Production Testing Update
As previously advised, production testing at Nyanda-4 in the southern area of the project commenced on 4 December 2019 and early results have been very encouraging. After 13 days of dewatering, State Gas reported gas flowing at a rate of 156 mscf/day.
Production volumes at Nyanda-4 have continued to increase steadily during December. The Company is now pleased to advise that Nyanda-4 gas production is currently at 436 mscf/day, with the fluid level in the well at 648 metres below surface.
The main coal seams of the Reid's Dome Beds in Nyanda-4 are located between 396 and 1127 metres, and production is continuing to steadily increase.
Within the central area of the Reid's Dome Gas Project, the new Serocold-1 well was drilled during December and will be placed on production test shortly in the New Year.
The strong gas production results since dewatering commenced at Nyanda-4 are highly encouraging for the Reid's Dome Gas Project and the Company's Target 2021 Gas-to-Market strategy.
Further production updates will be issued in the New Year.
About 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