Real Energy prepares for next stage in Windorah gas development
Real Energy’s Tamarama 1 gas well at Windorah.
Oil and gas explorer Real Energy Corporation (ASX: RLE) is preparing to kick off a fracture stimulation program at its Windorah gas project in Queensland, following the completion of diagnostic fracture injection testing (DFIT) on the Tamarama-3 well.
The DFIT program was intended to derive stress and reservoir parameters to fine tune the design of the fracture stimulation model.
The Cooper Basin-focused company today reported that data from the test appeared to be consistent with pre-drill assessments.
Frack modelling is currently underway with the results to be reported next week. Fracture stimulation operations are set to begin later this quarter, Real Energy stated.
Real Energy managing director Scott Brown said the injection testing marked the completion of another key operational step at the Windorah gas project, which is aiming to develop an estimated 13.7 trillion cubic feet of gas-in-place resources to supply Australia’s east coast market.
“We are on track with our works program and rapidly advancing towards the much anticipated production phase,” he said.
“The excellent gas readings and consistent log interpreted gas pays so far for Tamarama-2 and Tamarama-3 give us confidence that fracture stimulation will deliver a positive result,” Brown added.
Tamarama wells
The first well to be spudded at the project, Tamarama-1, has been flowing gas since 2016. In March 2018, Real Energy reported it was flowing between 0.5 million cubic feet per day and 2MMcfpd of gas.
The company began drilling the Tamarama-2 and Tamarama-3 wells in the first half of this year.
In early May, drilling at Tamarama-2 hit a net gas pay of 35m over a 90m logged interval within the Toolachee and Patchawarra formations.
Later in the month, Real Energy encountered a combined net pay of 59m over a 171m Toolachee-Patchawarra section at Tamarama-3.
Pathway to production
The company is targeting initial pilot production from its three Tamarama wells in 2019.
Once pilot production is established, the company plans to move to the stage one development phase, which will involve the drilling and development of six more wells near the Tamarama site. A conservative production target of 20 Terajoules per day of gas has been set for this phase.
Stage two development includes full field development of the entire permit containing the Windorah gas project (ATP 927), targeting 100TJ per day of gas production.
Real Energy is also aiming to certify 3P (proven, probable and possible) reserves in excess of 2 Tcf.