Central Petroleum and its joint venture partner are running a competitive tender process to select an infrastructure provider to deliver the gas processing facilities required to support the Range gas project, Queensland.
A number of proposals have been received from well-established infrastructure providers and these are currently under review by the joint venture.
The company has also confirmed that the key approval documentation has progressed, particularly the Petroleum Lease Application which is expected to be finalised soon.
In addition, all three wells from the Project Range three well pilot program are now operating continuously since the beginning of pumping last month.
Well drawdown was gradually increased via a controlled reduction in the fluid level, which is now just above the pumps.
Central Petroleum reported that shortly after pumping commenced, sufficient gas was being produced to sustain the flare.
After around four weeks of well drawdown, the aggregate daily gas rate reached around 35,000 scfd and is expected to continue climbing.
Chief executive officer and managing director Leon Davaney said the strategy of closely spacing the pilot wells 200m apart has proven successful in delivering gas earlier than expected.
“We will continue to de-water the pilot to increase confidence in the water and gas ramp-up profile which will enable us to fine tune the field development plan,” he said.
“We will progress the broader Range Project as expeditiously as we can, particularly now when east coast gas prices have rebounded so dramatically from their lows in 2020.”
The Range gas project is a 50:50 joint venture between Central Petroleum and Incitec Pivot Limited in the Surat Basin.
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