- 01Jade to test deeper TTCBM gas horizons in Mongolia.
- 022D/3D seismic to map deeper sequence and targets.
- 03Near-term TTCBM focus unchanged; deeper work complements.
Jade Gas Holdings (ASX: JGH) is advancing plans to investigate the deeper gas potential of its flagship Tavan Tolgoi coal bed methane project (TTCBM) project in Mongolia to determine whether it extends to additional gas-bearing horizons at depth.
The company’s exploration and development activities to date have focused predominantly on shallower gas-bearing coal seams, whereas the proposed deeper program will explore the geological sequence beneath these horizons to see if it forms part of a larger vertically developed system.
It is complementary to Jade’s existing development strategy and does not alter the company’s near-term focus on the development and commercialisation of TTCBM gas resources.
The proposed deeper exploration strategy draws on established examples from China's Ordos Basin, particularly the Hedong Coalfield (including the Linxing and Daning-Jixian fields) along its eastern margin, where extensive Carboniferous-Permian coal-bearing sequences host multiple vertically stacked gas-bearing horizons.
2D-3D Seismic Programs
Jade also plans to conduct targeted 2D and 3D seismic programs to improve its understanding of the deeper geological architecture at TTCBM including depth, distribution, continuity, and structural setting.
The work will look to image the geological sequence beneath the company’s currently targeted coal seams, map major structural and stratigraphic features, and identify prospective horizons warranting further investigation.
Initial 2D seismic is expected to provide broader structural and stratigraphic definition, while targeted 3D seismic will provide higher-resolution imaging over select areas and assist in defining and ranking priority targets for subsequent deep exploration drilling.
If the seismic programs identify compelling deeper targets, Jade will use the results to optimise the location and design of future deep exploration wells.
Successful drilling could confirm additional gas-bearing horizons, establish a new inventory of exploration targets, and identify additional exploration potential at TTCBM and across the broader permit area, providing a stronger basis for further engagement with interested international energy companies.
International Enquiries
Jade executive director Dr Ian Wang said the company was keen to learn more about the TTCBM coal-measure gas system.
“The inbound enquiries we have received from international energy companies regarding this project’s deeper gas potential reinforce our view that this is an opportunity worth investigating,” he said.
“The planned seismic programs will allow us to evaluate the broader geological sequence and identify any additional prospective gas-bearing horizons beneath those currently underpinning our development strategy.
“Our immediate priority remains the development and commercialisation of our established gas resources and this deeper exploration program is complementary to that strategy, providing an opportunity to determine the broader scale and potential of the TTCBM gas system at depth.”
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