The Waitsia-1 appraisal well situated in the Perth basin of Western Australia reached a total depth of 3507m said field operator, AWE Ltd.
The Australian oil and gas explorer noted that the Holmwood shale was intersected at 3490m measured depth, 10m high to prognosis, and total depth was achieved 17m into the Holmwood shale.
Preparations are now underway to commence a wireline logging of the program, which will run over a number of intervals, including the Dongara and Kingia sandstones .
Designed to further test the gas potential of the Waitsia Field, Waitsia-1 was spudded in May this year and will take approximately six weeks to complete.
Located 17km east of Dongara in Western Australia and 10km from the Dongara gas plant, Waitsia-1 is the second of the three well drilling program planned for the Perth Basin in 2015.
AWE supplies gas to the local community through Dongara Gas plant.
The first well, Irwin-1, located about 10km east of Senecio and Waitsia fields was drilled at a total depth of 4049m. The well reported elevated gas shows in the upper Dongara and Wagina formations and extension of tight gas play at the Synaphea structure.
The firm estimates gross 149 Bcf of gas 2C contingent resources in Irwin and Synaphea structures. The up-dip portion of the Synaphea structure, located in permit has not yet been drilled.
According to AWE’s managing director, Bruce Clement, the Waitsia gas field represents an estimated gross 2C contingent resource of 290 Bcf of gas with significant upside of up to 1.17 Tcf of gas. The Waitsia field has the potential to be a significant source of gas for the Western Australia domestic market. First gas production could enter the Perth market by the middle of 2016.
Production onshore Perth basin in the March 2015 quarter increased 3% over the previous period and AWE’s share from its various Perth basin assets was 667 terajoules (TJ) of gas and 866 bo. However, overall production for the three months to the end of March 2015 was down 6% compared to previous quarter due to planned shut-ins at Tui oil field in New Zealand and BassGas in Southeast Australia.
Sales revenue for the March quarter was AU$41 million, down 46% over the December quarter due to lower production and oil prices. Field operating cost was $27 million, down 34% on the previous quarter, while exploration expenditure for the quarter was $10 million, up 38% on the previous quarter because of activities in the Perth Basin.
Image: Perth operation drilling / AWE
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