- Vali-2 delivers greater net gas pay than Vali-1 ST1, exceeding pre-drill expectations.
- 150m of net pay primarily in the Toolachee and Patchawarra. formations (80 metres of net gas pay interpreted in Vali-1 ST1)
- Field reserves to be reviewed in late July following Vali-3.
- SLR184 rig has been mobilised to the Vali-3 with spud expected over the coming days.
The Vali-2 well was drilled to total depth of 3,240 metres and cased for production. Wireline logging confirmed the presence of gas in both the Toolachee and Patchawarra formations, as well as the Tirrawarra Sandstone, with a gas sample recovered via MDT from the Toolachee.
It is expected that the discovery of gas in the Toolachee Formation will add to reserves estimates in the Vali Field, with an independent reserve assessment by ERCE planned once the Vali-3 appraisal well has been drilled. It is expected Vali-3 drilling will start over the coming days and take circa 21 days.
Vali-2 has 24 metres of stacked net gas pay in the Toolachee Formation, with an 8% porosity cut-off, which is distributed between three thick sandstone packages and five thinner ones. A gas gradient was established through MDT pressure measurements and a gas sample recovered. Analysis of the sample indicates the Toolachee gas has a higher percentage of hydrocarbons at 82% (75% methane, 4% ethane, 3% other hydrocarbons) and 18% inert gases, compared with the Patchawarra gas in Vali-1 ST1, which has around 76% hydrocarbons and 24% inert gases.
The wireline logging and MDT results indicate that the Toolachee reservoir may flow without the need for well stimulation.
The Patchawarra Formation is estimated to have 117 metres of conventional and low permeability net gas pay, with a 6% porosity cut off (80 metres in Vali-1ST1 with a 6% porosity cut off), that is distributed over 18 sandstone packages, with the Tirrawarra Sandstone having nine metres of conventional and low permeability net gas pay (two metres in Vali-1 ST1), both of which had a 6% porosity cut off. Production from these formations is expected to be optimised by future well stimulation.
This very encouraging result, following the successful Odin-1 well drilled in May, further increases Metgasco’s confidence in the viability of a substantial Cooper Basin gas production hub being commercialised in H1 2022. Technical appraisal of the Odin-1 well is continuing with net pay data and gas samples under evaluation, with a market announcement expected to be made within the next 2-3 weeks.
Ken Aitken, CEO
Phone:+61 08 6245 0062