Tlou Energy Ltd (LON:TLOU) told investors that it has now begun production testing operations at the Lesedi coal bed methane project in Botswana.
The company, in a statement, said that the Lesedi 3 development pod has been completed with surface production equipment now installed and operational.
At the moment the company must proceed with de-watering and the lowering of pressure in the coal seam in order to start gas flows.
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It anticipates initial production performance statistics will be available during the second quarter of this year.
In the meantime, drilling work continues at the Lesedi 4 pod. The 4A lateral well has so far been drilled, and work on the 4B lateral is presently underway.
It is planned that 4B will be the final well in the current drilling programme.