Publicly-listed company Metgasco has announced that is has made the first significant conventional gas discovery in New South Wales in over 100 years.
The Kingfisher E1 well discovery, which is located approximately 2km from the northern town of Casino, has been cased and is currently suspended for further testing, Metgasco announced at the weekend.
Wireline logging has also been completed and preliminary analysis of logs shows that the well has penetrated multiple gas bearing sands over an interval from 1058m down to 2067m.
A minimum of 32m of gas bearing sands have been identified, and further gas zones are likely to be present at greater depth given evidence of gas at the base of the well, the company said.
The field has a current estimated area of closure of 25 square kilometers, km², however Metgasco will review the current resource estimate for the Kingfisher field in the coming week and expects that this will significantly increase.
“Kingfisher is a major new gas discovery. This is the first significant conventional gas discovery in over a century of exploration in the state of New South Wales,” said Metgasco managing director, David Johnson.
“Over the next three months we will be undertaking further testing on the Kingfisher field. This will allow us to determine the full potential of the field.”
The discovery of conventional gas resources enhances Metgasco’s existing coal seam gas assets and will accelerate the commercialisation of a number of development opportunities, according to the company.