Elixir Energy gas production has hit its straps with low water content gas flowing at 100,000 cubic feet per day at its extended pilot production project, part of the Company’s 100% owned Nomgon IX Coal Bed Methane pilot programme in Mongolia’s South Gobi Basin.
The 83-day-old two-well coal dewatering program enjoyed an early gas production breakthrough from near 100% gas-saturated coals at the Nomgon-9 well on the first day of pumping.
Last week, the additional supply brought on Nomgon-8 lifted production to 100,000 standard cubic feet per day of gas and 180 barrels per day of water, which continues to improve steadily.
Although our ground-breaking Nomgon pilot production test has some months still to go, results to date have been very encouraging,” Managing Director Neil Young said,
“The high gas saturation levels in the coals means minimal water production and very early gas breakthrough – both of which support long term economics.
“The gas flows to date are better than regional peers in producing gas fields and in Mongolia we face a long term lower drilling cost environment than in the likes of Australia – which also supports the economics.
We look forward to progressing our CBM program in Mongolia this year – now in parallel with our other major projects – Grandis and Gobi H2.”
Next Steps
The final location of the wells will be determined in the coming months, with the drilling program to begin in Q2 of 2023, following required annual re-tendering, environmental approval and other administrative processes.
