State Gas Limited (ASX:GAS) advises that it has engaged a drilling contractor for its upcoming drilling campaign, entering into a Letter of Intent with Silver City Drilling Pty Ltd for that company's Rig 25 to drill at least four production wells.
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.
Following its appointment last week as Preferred Tenderer for new gas acreage in the Bowen Basin in the most recent Queensland Government Land Release, State Gas Limited (ASX:GAS) is very pleased to advise that the Authority to Prospect (ATP) for the area was granted yesterday.
Following the exceptional results of the Nyanda-4 gas production test announced last week, where gas flow rates have approached 500,000 scf/d after two months of dewatering, State Gas Limited (ASX:GAS) is now actively planning Phase 2 of its exploration and appraisal program.
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 (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.