Pure Hydrogen nearly doubles Botswana gas resource ahead of well testing
Energy
Energy
Pure Hydrogen has upgraded third-party certified resources at its Serowe coal seam gas project in Botswana by 96% to 315.7 billion cubic feet of gas.
Operator Botala Energy, which is carrying the company through the first $6m of expenditure in the project, is currently preparing to carry out preliminary flow testing of their Serowe-3 well that intersected 41m of interpreted gassy coal seams with free gas breaking out of fluids on the surface.
Design of the test has been completed and Botala is now sourcing equipment to complete the well as a producer within the next few months.
Pure Hydrogen (ASX:PH2) says that data from the well test will be used to design, drill and complete a long-term test program on a multi-well pilot during the second half of 2022.
Achieving commercial gas flows can yield progressive and reasonably predictable conversion of 2C resources and contingent resources to reserves.
The company added that the interpreted natural permeability and high gas contents in the thicker coals encountered in Serowe-3 reduced the risk of and cost of commercial development in this part of Serowe CSG field using inexpensive vertical well completions methods.
Success could provide a pathway to a multi-trillion cubic feet CSG gas field in central southern Africa.
The Serowe-4 and Serowe-5 wells, which are 5km step-outs from Serowe-3, intersected 31m and 24m of gassy coals respectively.
This article was developed in collaboration with Pure Hydrogen, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.