Strike Energy (ASX: STX) has observed better than expected gas measurements in the coals intersected by its Le Chiffre-1 exploration well in the Cooper Basin, South Australia.
However, logging and further analysis will be required before the significance of these early results can be determined.
Le Chiffre-1 had encountered the Toolachee formation at a depth of about 1,430 metres and recovered over 20 metres of coal core from 1,464 metres to 1,588 metres.
The well is currently drilling ahead at 1,588 metres to test the target coal seams in the Roseneath-Epsilon-Murteree and Patchawarra Formations.
Le Chiffre-1 in PEL 96 is located about 105 kilometres south southwest of Moomba and just 4 kilometres east of the Moomba to Adelaide Pipeline.
Strike has a 66.7% interest in PEL 96 while Energy World Corporation (ASX: EWC) holds the remaining 33.3%.
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