Empire Energy Ltd., Sydney, plans to ramp up its exploration program in its 100%-owned EP187 in the Beetaloo basin onshore Northern Territory following government approval for a broad appraisal program including drilling of the first horizontal well.
Carpentaria-2H will be drilled 11 km north of the Carpentaria-1 gas discovery. It is expected to spud before end October.
The vertical section will target the same Velkerri formation shales (A, B, Intra A/B, and C) as the first well, but is expected to be 200 m deeper. A horizontal well will then kick off into one of the target zones.
The Charlotte 2D infill seismic survey—to better define the Velkerri shale reservoir resources across the permit—will begin the first week of November. It is expected to provide a more detailed picture of the size of the resource as well as delineate future drilling locations. The survey will take 2 weeks.
The government approvals allow for the drilling of up to seven horizontal wells in the permit.
In the meantime, Empire’s re-started production testing of the fracture stimulated Carpentaria-1 has resulted in an increase in the average flow rate of 45% to 0.364 MMcf/d of gas compared to the average reported flow rate reached during the first extended production test earlier in the year.
Empire’s engineers believe the increase in production rates may be due to diffusion of water into the Middle Velkerri shales during the shutdown period, providing enhanced pathways for gas production through induced fractures.
Sampling of gas and flow-back fluid at the surface has also continued and the returned hydrocarbons will be evaluated to determine the best shale to target with the horizontal section of Carpentaria-2H.
