Falcon Oil & Gas Ltd (LON:FOG, CVE:FO) has highlighted what it describes as very encouraging initial gas composition data from the Kyalla 117 well, at the Beetaloo project in Australia’s Northern Territory.
Gas samples taken during a 17-hour unassisted flow period confirm a 17-hour unassisted flow period, the company said.
The data meets expectations, it added, and also supports the view that Kyalla gas stream will have elevated LPG and condensate yields.
“The initial gas composition data are very encouraging providing a strong indication for the liquids-rich gas play in the Kyalla formation,” said Philip O’Quigley, chief executive in a statement.
“We will update the market when operations recommence at Kyalla 117 at the beginning of the dry season in Q2 2021,” he added.
Falcon noted, in line with previous announcements, that measures will be put in place to flow back sufficient hydraulic fracture stimulation water to allow the Kyalla 117 to flow continually without assistance.
This programme of work will start in the second quarter during the dry season and will aim to enable an extended, 60 to 90 days, production test.