EXR 0.00% 6.3¢ elixir energy limited

Ann: Nomgon CBM Project Flows - Gas & Water to Surface, page-81

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  1. 85 Posts.
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    An 8m coal thickness is underwhelming in relation to the seam thickness identified in Nomgon & Yangir to date. However in comparison to CSM gas projects in Australia, an 8m seam can prove to be viable for gas extraction if the right conditions are met (density, permeability, etc). Smaller seams have been worked in the past, the thickness isn't a deal breaker.

    At this stage, the thickness of the coal seams aren't as important as whether gas can be successfully extracted from them. Identifying additional sub basins, regardless of the average thickness is still solid and the current success rate is excellent (which make me nervous for the next time they hit a duster as the market has high expectations).

    Even if Richcairn had a thickness in the double digits, I don't think it would have a huge impact on the SP since they already have Nomgon & Yangir. We know they have the coal, now they need to prove that gas can be extracted from Nomgon. Once this occurs, then they can rinse and repeat.
 
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