State Gas Limited (GAS.AX) Reid's Dome Production Testing Update
State Gas Limited (ASX:GAS) is pleased to provide an update on the early results of production testing at its 100%-owned Reid's Dome Gas Project (PL 231) in Central Queensland.
As previously advised, production testing at Nyanda-4 in the southern area of the project commenced on 4 December 2019 and early results have been very encouraging. After 13 days of dewatering, State Gas reported gas flowing at a rate of 156 mscf/day.
Production volumes at Nyanda-4 have continued to increase steadily during December. The Company is now pleased to advise that Nyanda-4 gas production is currently at 436 mscf/day, with the fluid level in the well at 648 metres below surface.
The main coal seams of the Reid's Dome Beds in Nyanda-4 are located between 396 and 1127 metres, and production is continuing to steadily increase.
Within the central area of the Reid's Dome Gas Project, the new Serocold-1 well was drilled during December and will be placed on production test shortly in the New Year.
The strong gas production results since dewatering commenced at Nyanda-4 are highly encouraging for the Reid's Dome Gas Project and the Company's Target 2021 Gas-to-Market strategy.
Further production updates will be issued in the New Year.
Lucy Snelling Chief Executive Officer Phone: 0439 608 241 e-mail: lucy@stategas.com Richard Cottee Executive Chairman Phone: 0458 517 850 e-mail: richard@stategas.com
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