Icon Energy provided an update in relation to the drilling of the Halifax1 well in ATP 855P, located in the Cooper Basin, Queensland.
Halifax1, a vertical exploration well in ATP 855P (Beach 60%, Icon Energy 40%), was spudded in the morning of 4th August using the Ensign 916 rig. Halifax 1 will evaluate the shale gas and basin-centred gas potential in the REM and Patchawarra Formation intervals within the Queensland portion of the Nappamerri Trough. The well is located approximately 12 kilometres northeast of Encounter 1 and has a planned total depth of 4,130 metres. We expect to reach total depth in approximately 55 days.
The Halifax 1 vertical exploration well will be:
Over the past twelve months, Beach has delivered excellent results from its Cooper Basin Nappamerri Trough unconventional gas exploration program in PEL 218 the adjacent tenement to ATP 855P.
These results have included:
“There is little reason why the 300 TCF plus of gas in place estimated for PEL 218, cannot be replicated in ATP 855P”, Icon Energy Managing Director Mr James said.
The financial terms of the farm-in will be the equivalent of those agreed previously with Beach to retain its 40% assignment (to give Beach 60% of ATP 855P) after funding the first $16 million relating to Halifax 1, or until the cost of completion, less a $1.75 million contribution from Icon Energy Limited.
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LNG World News Staff, August 6, 2012