Australia: Armour Updates on NT Operations

Armour Energy announced that third‐party resource estimates have been updated following the Company’s 2013 Northern Territory exploration program. 

SRK Consulting has based its estimate of 2,870 Bscf (3,496 PJ) Mean Prospective Resources, unrisked, on fifty‐five of Armour’s targeted prospects and leads.

These estimates were made in accordance with the Society of Petroleum Engineers Petroleum Resource Management System guidelines, and as of 26 November, 2013. MacNaughton containing 264.4 Bscf of Mean Prospective Resources, unrisked, in accordance with SPE PRMS guidelines and as of 1 April 2013.

This type of conventional gas accumulation was discovered by Armour in the Coxco Dolomite of the Teena Formation, a conventional, free‐flowing reservoir in the Batten Trough, McArthur Basin. The Glyde 1 ST1 lateral well was tested in August 2012 and flowed at 3.3 million standard cubic feet per day equivalent (MMscf/d) at a pressure of 125 psi during 45 minutes of testing on a 16/64 inch choke. This discovery also substantiates the previously announced Contingent Resources, unrisked, assessed by DeGolyer and MacNaughton in accordance with SPE PRMS guidelines and as of 1 April 2013.

The Coxco prospects and leads were defined by SRK based on extensive studies of surface geology, well data, regional geophysical data, and integration of the extensive airborne gravity and magnetic surveys completed by the Company.

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LNG World News Staff, November 29, 2013; Image: Armour