Kinetiko Energy (ASX: KKO) has increased by in place resources at its Amersfoort gas project in South Africa to 2.4 trillion cubic feet of gas, up 41% from previous estimates.
The upgrade was derived from the conventional gas accumulations overlying the coals seams, enhancing the commercial potential of the project.
Kinetiko had discovered the relatively shallow, sandstone gas in all 10 of its exploration boreholes.
The company is now moving to start a pilot production well program of between 4 and 8 exploration wells on the South African project in September 2012 along with 15 exploration holes.
Another 3 pilot production wells will be drilled next year.
These are targeted towards booking gas reserves in early 2013
Amersfoort covers 1601 square kilometre and contains more than 800 existing coal exploration drill holes.
The coals at Amersfoort have high permeability, reducing or eliminating the need to carry out fracture stimulation.
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