Comet Ridge (ASX:COI) has noted the Mahalo 7 horizontal surface to in-seam well has encountered 360 metres of coal reservoir before successfully intersecting the Mahalo 6 vertical well in Queensland’s Bowen Basin.
Gas was identified while drilling with the Mahalo 6 vertical coal seam gas production well planned to be pumping soon.
Drilling conditions have been good and subsequently a further 49 metre section of horizontal wellbore was drilled past the intercept well before the well drilling was terminated at the total measured depth of 775 metres.
The Mahalo block is located 240 kilometres west of Gladstone in central Queensland and the Joint Venture has been operating two production pilot schemes at the Mahalo Field Pilot and Mira Field Pilot, since the first half of 2013.
Recently, the company received its maiden certification of 22 petajoules of proved and probable reserves for the Mahalo Block.
Mahalo also hosts a Best Estimate Contingent Resource of 107PJ.
Equity participants in ATP 337P Mahalo are Comet Ridge (40%), Australia Pacific LNG (30%) and Santos (ASX:STO)(30%).
Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.