Empire Energy secures drilling and fracture stimulation contracts for Carpentaria Pilot Project
Last updated: 20:20 09 Sep 2024 EDT, First published: 20:16 09 Sep 2024 EDT
Empire Energy Group Ltd (ASX:EEG, OTC:EEGUF) has contracted Ensign Rig 965 to drill the Carpentaria-5H well on exploration permit (EP) 187, part of the Carpentaria Project in the Beetaloo Basin of Australia's Northern Territory.
The company has also contracted Halliburton to fracture and stimulate the well with a 44,000 hydraulic horsepower (HHP) fracking fleet, almost three times greater horsepower than previous campaigns at Carpentaria.
EEG is targeting a 3,000-metre horizontal section and 60 fracture stimulation stages in the Velkerri B Shale for the 5H well.
Pilot production sales targeted for mid-2025
“Empire is now entering an exciting phase, targeting commencement of sales from the Beetaloo,” Empire managing director Alex Underwood said.
“Following the recent successful capital raising, the team has been progressing design and execution planning for the C-5H pilot development well and engineering works for the installation of surface facilities to allow for the sale of test gas into the McArthur River Pipeline.
“We remain on track to drill and stimulate C-5H this year with initial flow test results due in Q1 2025.
“Engineering work on the surface facilities continues with installation on track for Q2 2025, with pilot production sales anticipated to commence in mid-2025 (subject to regulatory approvals for sale of test gas which are well advanced).”
Empire intends to complete the well with a 5-and-a-half-inch casing to allow double precious fracture stimulation pump rates to over 100 barrels per minute, which may increase productivity during the stimulation phase.
The company expects to begin drilling in late October, once the Ensign Rig is released from an existing contract, and fraction stimulation will follow shortly after.
