TMK Energy Ltd. has intersected 44 m of gassy coal in the upper coal seam in the first well of its inaugural drilling program in the Gurvantes XXXV coal-seam gas project in South Gobi basin, Mongolia. The coal lies at depths 406-461 m.
Preliminary results from 36 desorption samples indicate the coal seam has high gas content (7.5-12.5 cu m/tonne and high gas saturation. A visual assessment of the coal core suggests the coal has a well-developed cleat system which is a positive indicator for permeability.
The well is currently at 480m and paused to allow for downhole geophysical surveys to confirm net coal thickness and identify intervals for drill-stem testing. TMK plans a further three core holes spaced about 3.5 km apart for drilling and testing during the next 3-4 months.
The company hopes that resulting data will enable it to convert a portion of the independently certified 5.96 tcf gross prospective resource into a maiden contingent resource for the Nariin Sukhait area during second-half 2022.
Farm-in participant Talon Energy Ltd. is funding the drilling under a $4.65-million, two-stage agreement executed in February 2021. Initial funding of $1.5 million has been allocated to the current four-well drilling and testing program. The second stage of funding ($3.15 million) is budgeted towards the pilot well program planned for later this year should Talon elect to proceed.