TMK Energy’s Snow Leopard-2 Drilling Underway
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Snow Leopard-2 (SL-2) is the second of four wells in the current exploration program at the Gurvantes XXXV Coal Seam Gas Project in Mongolia, targeting thick coal seams within the coal seam gas (CSG) window.
TMK Energy (ASX:TMK) says the plan is to drill SL-2 to a depth of 600m, targeting the same coal formations intersected in SL-1 at the site in Mongolia’s South Gobi basin.
The resulting well will be cored, and any significant coal seams intersected will be sampled and subjected to the same gas desorption testing undertaken at SL-1, to provide data on gas content, saturation and composition at this location.
Downhole geophysical surveys and downhole permeability testing are also on the cards, to acquire further data on coal seam thickness and characteristics at the SL-2 location.
Exploration program facilitating conversion into maiden resource
Overall, the exploration program is targeting additional data to allow for the conversion of the independently certified 5.96 TCF (2U risked) prospective gas resource into a maiden contingent resource in the second half of 2022.
TMK CEO Brendan Stats said the results from the first well are very encouraging and the new data that will be gathered from Snow Leopard-2 will provide a further data point.
“This will allow us to continue to prove up the potential of the Nariin Sukhait area within the highly prospective Gurvantes Coal Seam Gas project,” he said.
Results on gas content and permeability from Snow Leopard-1 are due shortly, with gas contents expected to be at the upper end of the previously indicated range (7.5 m3 /t – 12.5 m3/t as received basis).
Once SL-2 drilling has wrapped up, TMK plans to drill and test a further two fully cored holes within the Nariin Sukhait area over the next 2-3 months.
After the four-well drilling program has completed, data collected will be pulled together and analysed to assist in the engineering and design of a pilot well program designed to further de-risk the asset and demonstrate a proof of concept for what could be a significant gas resource development over a very large area.
The pilot well program remains on track to begin in the second half of 2022.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.