Kinetiko Energy has announced it will drill a new pilot production well at its Amersfoort coal seam gas project in South Africa
Kinetiko explained that the decision was made following drilling difficulties with the first hole.
The company said, “The difficulties were caused by the drill rig crew adopting new rig procedures and the decision to drill a new hole was made to ensure integrity of the first hole.”
Drilling, completion and testing is expected to start before the end of November 2012 and the initial results are anticipated within five weeks of that.
Kinetiko will drill three wells on the northern Amersfoort tenement by early 2013, followed by a further three wells on the southern tenement. Each of these will be drilled to a total depth of about 450 metres to assess gas flow rates and, ultimately, well gas recovery.
Kinetiko said, “Due to the extensional geological structures in the region, the coal has relatively high permeability with preliminary studies indicating that low volumes of produced water are expected from the production wells, given the geological and climatic characteristics of the region.”
As part of an agreement with Badimo Gas, the company operates the two Amersfoort licences with 49 per cent interest.
Oil and gas consultants Gustavson Associates has estimated that Amersfoort has a contingent resource of 1.5 trillion cubic feet of gas.
