Armour: Egilabria 2DW1 Casing Cemented at Total Depth, Australia

Armour Energy announced that the Egilabria 2DW1 lateral gas appraisal well has reached a total depth at 2102 metres and that casing was successfully cemented in place to appraise the lateral section of the highly prospective Lawn Shale.

This interval correlated well with projections from the Egilabria 1 and 2 vertical wells. The Lawn Shale Formation contains a prospective resource of 22.5 Tcf of high quality gas, which could potentially feed 2 trains of LNG production.

As reported earlier, the fractured and brecciated dolomitic section at the base of the Lawn Shale indicated flows and shows on Egilabria 2 vertical well and maintained background gas on Egilabria 1 after drilling through the Lawn Shale. Egilabria 2DW1 is testing the Lawn Shale, as well as the fractured and brecciated dolomitic section at the base of the Lawn Shale and fractured gas bearing zones above the shale.

The Company considers the results to be very encouraging, and is readying contractors to perform an eight stage hydraulic stimulation treatment within these highly prospective intervals over the next month.

Over the coming weeks, the rig will move to Egilabria 4, which is 9.2 km northeast of Egilabria 2, to further test the Lawn Shale as well as the underlying Riversleigh sequence, targeting a further 18 Tcf of gas Prospective Resources, and a conventional target interval at the base of the Mesozoic sediments in the Carpentaria Basin (above the Lawn Shale).

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LNG World News Staff, August 13, 2013; Image: Armour Energy