TSV 0.00% 0.8¢ transerv energy limited

Sept 20 ASX announcement stated, in part:"Along with ongoing...

  1. 572 Posts.
    Sept 20 ASX announcement stated, in part:

    "Along with ongoing recovery of the slick water at 1,000 - 1,500 barrels per day, increasing volumes of gas have been flowing to over the past week. The increasing gas flow is an encouraging sign that the well clean-up operations are proceeding successfully.

    A sliding sleeve will be used today to close off the upper stimulated zone (zone 6 of Warro 3) so that an extended well test of the lower stimulated reservoir section (zone 4 of Warro 3)can commence. The extended well test on the lower zone 4 will be followed by a separate extended flow test on the upper zone 6. These two zones have different reservoir characteristics so separate flow tests will provide valuable information."

    Today's announcement in part:

    "Transerv Energy (ASX: TSV) wishes to advise that gas started flowing from the lower zone at the Warro-4 onshore well in WA on September 21st.     Over the past 7 days, gas has been flowing at   0.42  - 0.65 mmcfd (2” choke) while still lifting a considerable amount of liquids to surface at a rate of about 600  -  1000b/d, with the rates of both gas and water production slowly declining over the period.

    Importantly, the lower zone has demonstrated for the past week that it is capable of flowing gas naturally without the
    need for nitrogen lift.  While this is an encouraging outcome, it is clear the well will not cleanup on its own and the Joint Venture has decided to recommence nitrogen lift to accelerate the flows and the cleanup process."

    So, initially we had increasing volumes of gas from the combined zones, then the upper stimulated zone was closed off and the rates of both gas and water production from the lower zone slowly declined.

    This indicates that the upper zone 6 is likely to be the main producing reservoir; after all, zone 6 produced 3 million cubic feet of gas per day in the un-fracced Warro-3 well.

    Bring on the zone 6 results.



 
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