By Romel S. Gurky
Australia-listed coal-bed methane (CBM) developer NuEnergy Gas Limited announced on Monday the completion of drilling for the TE-B06-003 well, located within the Tanjung Enim PSC area in South Sumatra. This marks a milestone in the company’s early gas sales initiative, which targets an initial production rate of 1 million standard cubic feet per day (mmscfd).
The TE-B06-003 well was drilled to a depth of 420 meters, intersecting five coal seams ranging from 248 to 371 meters deep. Gas shows observed during surface logging confirm the presence of methane across multiple seams, reinforcing the company’s expectations of viable gas production from the well.
In line with the success of the first two wells, NuEnergy has installed a Progressive Cavity Pump (PCP) system at the TE-B06-003 site. This system is crucial for advancing the company’s efforts to achieve stable gas production. The PCP system also features real-time remote monitoring and control capabilities, which will enable NuEnergy to make data-driven adjustments to production parameters. These enhancements are expected to reduce downtime, improve operational efficiency, and support long-term performance optimization of the well, the company said.
Read also: NuEnergy begins drilling 3rd well at Tanjung Enim PSC
Once production targets are met, gas will be gathered at the surface facility and transported to a gas processing facility for further distribution. The drilling rig has now been rigged down and is being mobilized to the fourth well site for continued exploration and development.
This drilling success aligns with NuEnergy’s signed Heads of Agreement with PT Perusahaan Gas Negara Tbk (PGN) (IDX: PGAS), under which gas from TE-B06-001, TE-B06-002, TE-B06-003, and the fourth well will be delivered through an infield pipeline to PGN’s processing and distribution facility.
NuEnergy holds three CBM PSCs in South Sumatra and is focused on moving these assets from exploration to development.
Editing by Alexander Ginting
