SYDNEY (Yosefardi) – NuEnergy Gas Limited has cased and cemented Pilot Well#2 to 594 metres at the Muara Enim Production Sharing Contract (PSC) area in South Sumatra, Indonesia.
The drill is down to the final section at circa 800 metres with a target depth of 880 metres. When target depth is reached the first round of IFO testing will begin to determine the permeability of each of the 6 coal seams already identified at this location.
Upon completion of Pilot Well#2 NuEnergy will connect the pilot well to the pilot production plant and commence dewatering the coals whilst monitoring gas production levels.
Work has commenced to connect Pilot Well#2 to the pilot plant with a view to increasing dewatering and gas production rates in fourth quarter of this year.
With Santos drilling CBM prospects in acreage directly to the North and East of Muara Enim PSC and Dart Energy and Sugico drilling to the West, the South Sumatra coal basin is maturing and entering the next phase of appraisal and development.