Senex Energy has completed the first coal seam gas pilot development, Glenora, on its Western Surat Gas project.
The project will involve the extraction of gas from coal seams across about 915sq km of land adjacent to gas fields and infrastructure operated by Australian majors Santos and Origin Energy.
“We have kicked off the Western Surat Gas Project with a successful work program to bring the Glenora pilot online, achieving this milestone on budget, ahead of schedule, and using local contractors,” Senex managing director and chief executive officer Ian Davies said.
“Thorough appraisal of our resource will ensure that we right size our full field development to achieve maximum project returns. This is an exciting step in our journey to develop the Western Surat Gas Project.”
The company previously told iQ it planned to spend $40 million on the Western Surat Gas Project in its first three years, with first gas production targeted by the end of 2017.
Senex said today that appraisal testing from the Glenora pilot would commence immediately, enhancing the company’s understanding of reservoir performance and de-risking full field development.
Senex expects production from the Glenora pilot to conform to the typical profile of coal seam gas wells, with a period of dewatering to precede a steady increase in gas production rates.
The company is working with Santos GLNG to progress a raw gas sales agreement for delivery of Glenora pilot gas into existing Roma field infrastructure.