The Range Gas Project’s pilot in the Surat Basin in Queensland is accelerating testing, according to joint venture partner Central Petroleum Ltd., Brisbane. The other jv partner is fertilizer producer Incitec Pivot Ltd., Southbank, Victoria.
Central reports that all three wells continue to operate reliably, with gas rates steadily increasing as dewatering continues. Daily flow rates have increased to around 50,000 scfd, up from 35,000 scfd in July.
In order to accelerate technical understanding of water and gas production profiles within the permit, Central said the area subject to pilot testing will now be expanded. This will involve the drilling and completion of two additional step-out wells from the existing pilot wells.
The jv intends to have these additional wells online in late 2021 or early 2022.
Central said in pursuit of the technical data there will be an impact on the timeline for the final investment decision (FID). However, it is still targeting the first gas to the market in 2024.
The jv is positioned to take advantage of an expected shortfall of gas supply in eastern Australia by 2024. IPL is hoping the gas can eventually supply its Gibson Island nitrogen plant.