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Beach discovers new gas field

Flow test results from the primary target Sawpit Sandstone indicate a high deliverability reservoir and provide encouragement to move toward commercialisation of the resource, according to Beach.

“We are very encouraged by these results, and to witness in the early stage of testing such strong well deliverability from an onshore gas field is particularly pleasing,”? said Beach CEO Matt Kay.

“We look forward to continuing our operations in the Otway Basin and are appreciative of ongoing support provided by the local community.

“We would also like to thank the South Australian Government for their contribution of the $6 million PACE gas grant, which was a crucial element in Beach’s decision to drill this well.”?

Haselgrove-3 ST1 is located on state forestry land in PPL 62, approximately 8 km south of Penola.

The well was drilled as a deviated well to a total measured depth of 4,331 m and intersected an estimated gross gas column of 104 m in the Sawpit Sandstone, with an estimated net pay of 25.6 m.

An estimated gross gas column was also intersected in the shallower Pretty Hill Sandstone, with an estimated net pay of 8.5 m.

Initial testing of the Sawpit Sandstone was undertaken to enable preliminary assessment of well deliverability and gas composition, with a cased hole test undertaken over the 4,023 – 4,185 m interval and flowed gas at a rate of 25 MMcf/d over a 100 minute period.

Early indications suggest the Sawpit Sandstone could flow at rates greater than 25 MMcf/d, as flow rates were constrained due to the size of the completion tubing (2 7/8 inches).

Preliminary gas sample analysis indicates low inert content, which should minimise gas processing requirements.

The well is currently shut in, with preparations underway for commencement of an initial production test later in January.

PPL 62 in 100 per cent owned by Beach Energy.

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