Elixir Energy begins 2021 Mongolia exploration program

March 8, 2021
Elixir Energy Ltd., Adelaide, has commenced its 2021 field program in Mongolia with the spudding of Yangir-2.

Elixir Energy Ltd., Adelaide, has commenced its 2021 field program in Mongolia with the spudding of Yangir-2.

This will be a fully rested core hole drilled immediately adjacent to its 2020 stratigraphic hole Yangir-1S which encountered 27 m of visibly bubbling coal seams.

Yangir-1S—drilled 347 m depth—terminated in December 2020 for operational reasons but opened the potential for a new subbasin in the company’s Nomgon coal seam gas production sharing contract area.

The new well is the first appraisal of that discovery.

Elixir has already made Mongolia’s first coal seam gas find in the PSC with the Nomgon-1 discovery in the Nomgon subbasin (OGJ Online, July 29, 2020). The well encountered a net coal intersection of 71 m that was fully gas saturated. A production test is planned for this year.

Overall, Elixir plans to drill 13 wells in the 2021 field program, along with the acquisition of 200 km of seismic and the one pilot production test.

The PSC is in the south Gobi region of Mongolia, close to the border with China.

Independent studies indicate the Nomgon PSC has potential to hold a recoverable resource of up to 7.6 tcf of gas.