Empire Energy Group Ltd (ASX:EEG) has recommenced testing of the gas flow rate of its horizontal Carpentaria-2H (C-2H) well in the Beetaloo Sub-Basin of the Northern Territory to optimise the fracture stimulation design and enhance well productivity.
The oil and gas company has mobilised a Production Logging Tool (PLT) this time to measure the relative contribution of the gas-to-surface rate to overall flow rates from each fracture stimulation stage.
Detailed data from this testing will help Empire plan fracture stimulation operations at Carpentaria-3H (C-3H) and future wells, to increase gas production per stage to maximise productivity and reduce costs.
C-3H fracture stimulation
In an operational update, Empire said the fracture stimulation of C-3H is imminent.
Th 40 planned stages across 2,000 metres of the 2,632-metre horizontal section is double the size of the C-2H program, and will be the largest fracture stimulation operation in the Beetaloo Basin to date and in the history of the Australian onshore oil and gas industry.
The C-3H drilling program had recently been completed at $10 million, well below the original budget of $12.3 million.
C-4V vertical well
Over at the Carpentaria-4V vertical well, the mobilisation of the Schlumberger Land Rigs 185 to the drilling site is nearly complete after a short delay caused by rainfall, with drilling likely to commence in a week.
The company hopes that the C-4V drilling program will show that the Velkerri shales in the Western part of EP187 extend into the Carpentaria East area.
EP187 location map illustrating drilling locations and depth to B Shale.
Major role
“Empire is executing its 2022 Beetaloo appraisal program, the most active in the history of the Beetaloo Sub-basin, to accelerate the company into commercial production as soon as possible,” Empire managing director Alex Underwood said.
“Gas shortages are causing serious economic strain on the Australian economy, and the only way to bring down prices sustainably is to increase supply. We believe that Empire’s Beetaloo gas can play a major role in solving this enduring challenge.
“It is encouraging that our operations team is driving significant cost efficiencies already, and this program will not only provide us with more flow rates from C-3H in the new year, but also critical insights into how to further enhance gas flow productivity. We look forward to sharing drilling, stimulation, and flow test results in the coming weeks,” he added.
Empire wholly owns and operates assets with unconventional targets in the Northern Territory Beetaloo Sub-basin and central trough of the McArthur Basin.
The company currently has cash balance of $32.7 million, while its new $15 million credit facility remains undrawn.