MinRes gas find sets a rocket under the Perth Basin
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Interest in the northern Perth Basin has been burning merrily along thanks to Waitsia and West Erregulla discoveries, but Mineral Resources’ (ASX:MIN) confirmation that its Lockyer Deep-1 exploration well has made a significant gas discovery has turned it red hot.
The miner, which is looking to secure its own gas supplies for energy security, noted that excellent reservoir quality and significant gas elevations were encountered in the primary target Kingia Sandstone.
Gas was also observed throughout the Irwin River Coal Measures with gas potential identified in the High Cliff Sandstone.
Additionally, several gas peaks were encountered within the Dongara-Wagina Formation while a potential conventional oil resource was identified in the Dongara Sandstone
MinRes noted that the top of the Kingia was intersected at 4041 metres and was marked by a significant drilling break and elevated gas readings. High gas readings were encountered across a gross sand interval of 26m to 4067m with good, inferred porosities throughout.
Significantly, no gas-water contact is evident, supporting the case for very significant resource potential across the greater Lockyer Deep/North Erregulla Deep structure.
The company said that wellbore conditioning activities are continuing before it runs wireline logs.
Should the logs be positive, it will then complete the well for production testing.
“The success at Lockyer Deep-1 exploration well is a fantastic start to our significant gas exploration program, as we seek to provide natural gas to power our own operations in conjunction with renewable energy sources such as solar and wind,” managing director Chris Ellison said.
“This gas discovery is an important step to securing our decarbonisation pathway and providing energy services to the Western Australian mining industry as it transitions to a lower carbon future.”
MinRes has an 80% interest in EP368 where the well is located while Norwest Energy (ASX:NWE) holds the remaining 20%.
Strike and Warrego’s West Erregulla wells have all intersected significant gas intervals and returned strong gas flows during testing.
Lockyer Deep-1 also firms up the potential of the northern Perth Basin that was first indicated by the discovery of the Waitsia gas field.