Oil and Gas News

Armour updates on Warroon-1 fracture re-stimulation

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Armour Energy has announced the Warroon-1 fracture re-stimulation is expected to take place following successful mobilisation of equipment and crews.

Following a successful re-stimulation, first stabilised gas flows are expected within 2 to 3 weeks.

The fracture re-stimulation program is targeting an unproduced gas-bearing interval in the Basal Rewan formation sandstone, which has not previously been commercially produced in the Warroon Field.

The program was forecast to commence pre-Christmas, but wet weather along with the availability of key contractor personnel and continuing COVID-19 travel restrictions between Queensland and Western Australia resulted in further delays.

Armour reached agreement with a private entity in September 2021 to fund the re-fracture stimulation of Warroon-1.

In exchange for a 50 per cent share of the incremental production uplift over 6 years, the private entity will fund 100 per cent of the capital.

Furthermore, Armour Energy said the workover programme on Myall Creek-2 has also commenced.

“We are very excited to get underway with our 2022 production enhancement field work by commencing these two high impact work programmes which offer potential strong long-term production returns for Amour shareholders and our funding partners,” said Armour’s chief executive Brad Lingo.

“A successful outcome in both the Warroon and Myall Creek programs will provide further endorsement of the production potential of two different play intervals that span a large part of Armour’s eastern exploration acreage.”

The well will be cleaned out and recompleted to enable testing of potential bypassed pay in the Tinowon C reservoir.

A workover rig will isolate the depleted Tinowon A perforations behind a straddle packer arrangement designed to facilitate future fracture stimulation.

The Tinowon C reservoir will be perforated through tubing and flow tested inline for a 30-day extended production test.

At the end of the test period, a decision will be taken on the feasibility and timing of the Tinowon C stimulation.

As part of the programme, a Pulsed Neutron Log will also be conducted to evaluate the gas saturations of the Bandanna and Black Alley reservoirs as future stimulation targets.

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