ESG 0.00% 86.5¢ eastern star gas limited

Confirming the Gas Reserves Potential of both the Namoi and...

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    Confirming the Gas Reserves Potential of both the Namoi and Bohena Coal Seams
    Eastern Star Gas Limited (ASX:ESG OTCQX:ESGLY), as operator of the Narrabri Coal Seam Gas
    Project, announces gas production from the Bibblewindi West tri-lateral production pilot is now in
    excess of 2.0 million standard cubic feet per day. Water production from the pilot continues at
    approximately 3500 barrels per day with in excess of 550 metres of head (water) pressure still to be
    removed.
    In announcing the flow rate Mr Casey, Managing Director of ESG, said that while early days, these
    results are not only an outstanding success for the Namoi Seam in its own right, but also augur well
    for the ongoing performance of the Bibblewindi multi-lateral pilot, where the Bohena coal seam is
    more than 5 times thicker, and where dewatering is actually at a less advanced stage.
    Mr Casey added the remarkable rate of ramp up in gas production from the Bibblewindi West
    production pilot has been achieved following commencement of dewatering only one month ago.
    Mr Casey concluded the performance already achieved at Bibblewindi West substantiates our
    decision to test the Namoi coal seam. We expect the Namoi coal seam will not only make an
    important contribution to future reserve upgrades but is again a strong indicator of the potential
    performance of the more areally extensive and significantly thicker Bohena Seam.
 
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