GCIGeorgina Energy announces new well re-entry targets, on track to commence drilling in December
() (formerly Mining, Minerals & Metals) issued an update on its well re-entry and development programme in Australia, highlighting progress at its core Hussar and Mt Winter prospects.
Georgina said its technical team had evaluated additional well reentry targets within the Centralian Superbasin (including the Amadeus and Officer Basins) covering 2 million km2 of Neoproterozoic to Cambrian sediments, with potential to recover significant volumes of helium, hydrogen and natural gas.
Ten priority targets have been identified so far out of a possible 168 currently plugged and abandoned wells, complementing the Hussar and Mt Winter prospects, with all 10 meeting Georgina's cost and risk criteria for re-entry and flow testing. Next, will determine the top 2 candidates, subject to ownership and rights to the wells.
Meanwhile, Georgina continued to advance its Hussar and Mt Winter prospects. Approval was sought to re-enter the Hussar-1 well, extending its original depth of 2040m to 3400m. In line with previous guidance, Georgina expects drilling operations to commence in December 2024. Likewise, at its Mt Winter prospect, remains on target to re-enter and deepen the Mt Winter-1 well.
Georgina also said its off-take MoU with Harlequin Energy had been extended for an additional 12 months, being a non-exclusive agreement allowing to remain in discussions with other parties.
Anthony Hamilton, CEO of Georgina Energy, commenting: "While our main focus is the commencement of drilling at Hussar before year end, for which we are fully financed, and the award of the Mt Winter Exploration Permit, we are excited about the possible additions of complementary well re-entry projects.
We look forward to keeping our shareholders informed, with several updates expected in the coming weeks and through to the commencement of drilling of Hussar."
View from Vox:
Georgina continues to progress its core assets in Australia - the EP513 Hussar prospect in the Officer Basin, Western Australia, and the EPA155 Mt Winter Prospect in the Amadeus Basin, Northern Territory.
At Mt Winter, pending approval following the 11 September, 2024 on-ground meeting with the Traditional Aboriginal Landowners for EPA155, is on track to re-enter and deepen the well to penetrate the Heavitree formation and test for helium, hydrogen, and natural gas.
And at Hussar, aims to extend the original well drilled in 1982 to 3400m to penetrate the Townsend Formation - the subsalt target reservoir which has been assessed to host large volumes of helium, hydrogen, and natural gas. Previous exploration in the 1980s targeted oil and did not penetrate the reservoir. Permitting is moving along as planned and initial site preparations have begun. Drilling is expected to commence in December 2024, subject to granting of a drilling permit by DEMIRS (Australian mining regulator).
Hussar is considered one of the most potentially lucrative resource basins in the Asia-Pacific region, hosting unrisked 2U prospective (recoverable) resources of c. 155 BCFG of helium, c. 173 BCFG of hydrogen, and c. 1.75 TCFGE of hydrocarbons. Similarly, Mt Winter hosts unrisked 2U prospective resources of c. 148 BCFG of helium, c. 135 BCFG of hydrogen, and c. 1.22 TCFGE of hydrocarbons.
Georgina has invested £6.5m over 5 years in its well-redevelopment strategy in Australia, which aims to unlock significant prospective resources of natural gas, hydrogen and helium. The additional 10 priority targets announced today, out of 168 prospective targets, indicate significant future development potential and revenue visibility for the 2 projects.
Georgina is fully funded for its Hussar development programme. The extension of the non-exclusive off-take MoU with Harlequin Energy is a positive sign for future funding.
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