The exploration work done comprised coring (7 holes) and desorption tests (284 samples) that revealed a world-class resource of at best 6 TCF (6 trillion cubic feet, or ~ 6 billion GJ). In 2012 after the exploration work was done, a resource evaluation report was prepared by an internationally renowned independent evaluator – Gustavson and Associates. The highest resource found thus far is over 103 BCF/mi² (billion cubic feet per square mile) and it is anticipated that this will increase as we drill further south. This resource is larger than any other proven CBM projects elsewhere in the world and the one that comes second is in India which has a resource of about 32 BCF/mi2 (billion cubic feet per square mile), making it a third of the Discovery Resource.
The work done to date only covers 25% of the total area explored and the resource found justified drilling of three pilot production wells (three spot), which began test production in May 2014. These 800m deep wells have proven commercial gas flow rates next to a 33 kVA power lines and 2 x 330kVA transmission lines which are part of the Southern Africa Power Pool (SAPP) network. The SAPP network is an interconnection of power transmission to all the Southern Africa countries.
Gas was produced from coals, shales and sandstones using simple techniques and without the need for fracking and was used to power our 350kVA duel fuel generator on site. The gas is over 95% methane with the balance being nitrogen and requires no treatment. This deposit dwarfs all other onshore CBM gas projects in the world.
Special Grant Production License SG2060
Gas Analysis Reports
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