Senex Energy (ASX: SXY) is investigating the unconventional gas potential of the shales, tight sands and coals on the southern edge of South Australia’s Cooper Basin.
Preliminary results from Senex’s petroleum exploration licence indicate the potential for gas resources in the wet gas window, containing liquids and heavy gases with a low carbon dioxide content.
The company has commenced a dedicated three well unconventional gas exploration program, with the fist well spudded on January 4, 2012.
This first well is targeting the Roseneath-Epsilon-Murteree (REM) shales, Patchawarra Formation gas bearing tight sands and Toolachee Formation coals.
Senex expects the well to reach a total depth of 3,200 metres within 39 days. The well will be extensively cored, with more than 220 metres of core to be taken from the Roseneath and Murteree shales and coals and sands in the Toolachee and Patchawarra formations.
The following two wells will be drilled as dedicated unconventional gas exploration wells, and will undergo fracture stimulation and flow testing as well as coring and logging.
In these two wells, Senex is aiming to induce gas flow from unconventional reservoirs, including the REM shales and Patchawarra tight sand sequences.
Along with the three new wells, Senex is also planning fracture stimulation injectivity testing at a gas exploration well drilled by Santos (ASX: STO) in 1998.
The well penetrated the entire Permian section in the Allunga Trough, including about 80 metres of Roseneath and Murteree shales, both of which have been shown to contain gas in cores.