Empire Energy drilling first full-scale pilot development well at Carpentaria Pilot Project in Beetaloo Basin
Last updated: 19:50 17 Nov 2024 EST, First published: 19:41 17 Nov 2024 EST
Empire Energy Group Ltd (ASX:EEG, OTC:EEGUF) has kicked off drilling operations for the Carpentaria-5H, or C-5H, well within its 100%-owned permit in the Beetaloo Basin, Northern Territory, Australia.
The C-5H well is on the same well pad as Carpentaria-2H and 3H, and is Empire’s most advanced horizontal shale drilling effort to date.
It is part of Empire's broader Carpentaria Pilot Project and is designed to achieve higher gas production rates than the previous wells.
Full-scale well execution
Managing director Alex Underwood said: "Empire has now reached the execution phase of our Carpentaria-5H operations.
“This is an important milestone for our company and the Beetaloo Basin generally.
“This well will be our first full-scale pilot development well, incorporating learning from the four wells that have previously been drilled successfully in EP187.”
C-5H well, which began drilling on November 16, is being executed with Ensign Rig #965.
This operation is expected to take 45 days to drill and case, targeting a 3,000-metre horizontal section and a measured depth exceeding 5,000 metres.
Higher gas flow than before
The design incorporates a longer lateral length and a larger well diameter to improve stimulation and gas recovery.
“The well design incorporates a larger well bore diameter targeting a 3,000-metre drilled and cased horizontal section,” Underwood added.
“The larger well bore diameter will allow Empire to increase stimulation horsepower, proppant concentration and water concentration, with a goal of producing higher gas flow rates than in previous wells."
Gas plant planning
“Our planning for the installation of the Carpentaria Gas Plant is progressing with a goal of commencing the sale of gas from EP187 in 2025,” he said.
Post-drilling, the well will undergo hydraulic stimulation using a slickwater design, with higher horsepower and greater concentrations of proppant and fluid aimed at maximising productivity.
At the time of this announcement, drilling had reached a depth of 315 metres.
Smoking ceremony
Empire continues to prioritise collaboration with traditional landowners in its operations.
A smoking ceremony conducted on November 15 welcomed the drilling team to the site, with the well named 'Jijimhunja', meaning a small beetle that burrows into the ground.
Traditional owners are actively employed at the site and Empire is engaging with the Northern Land Council to facilitate discussions regarding gas sales under the Beneficial Use of Test Gas provisions of the NT Petroleum Act.
The company remains well-funded, with A$34 million in cash reserves to support its ongoing activities.