Comet Ridge (ASX:COI) has confirmed an eastern extension of its Gunn Project Area after a coal seam gas exploration well intersected the target coals.
Importantly, the Schmitt-1 well in the Galilee Basin, Queensland, showed a thickening of coals with net coal thickness in this location of about 22 metres.
While gas desorption results will take a number of weeks to be fully processed, early raw gas measurements from the coals in Schmitt-1 show a similar trend to results seen in the Hergenrother-1 and Gunn-1 wells in the Gunn Project Area.
This confirms the project exceeds 1,400 square kilometres in size and extends to the east into ATP 1015P.
Wireline flow testing over key coals showed good productivity leading to the decision to case and suspend the well as a future producer.
Comet Ridge will now proceed with drilling the last well in its current three well program, Cernan-1, located 13 kilometres further to the east.
The drilling of Schmitt-1 and Cernan-1 will fulfil the company’s first phase commitment to farm into this area of ATP 1015P.
This gives Comet Ridge a 20% stake in the farm-in area. This can be increased to a maximum of 75% by committing to another two phases, the second consisting of three wells and the third of drilling four wells plus developing a pilot.
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