AWE reports Waitsia-4 gas well flows at record Australian rate

AWE Ltd.’s final well in the current appraisal and development program in Waitsia natural gas field in Western Australia’s onshore Perth basin has tested at one of the highest flow rates in Australian history.

AWE reported that its Waitsia-4 well flowed at an instantaneous maximum rate of 90 MMcfd of gas from the Kingia sandstone reservoir (OGJ Online, July 10, 2017). The well went on to average 89.6 MMcfd through a 96/64-in. choke at a flowing pressure of 2,395 psi during the 23-min test period.

Waitsia-4 confirmed the excellent reservoir quality and well deliverability seen in previous wells in the field. AWE said no further testing will be required prior to a final investment decision on Stage 2, which is full field development.

The well was drilled 18½ km southeast of Dongara and 3.3 km north-northeast of the Waitsia-3 well.

Waitsia field is a conventional gas project with reservoirs in the Kingia and High Cliff sandstones. It is the largest onshore Australian conventional gas discovery in 40 years and has sufficient estimated reserves to supply the Western Australian market with 100 terajoules/day for 10 years.

This year’s Waitsia-2, Waitsia-3, and Waitsia-4 test program was designed to determine well deliverability from the southern extent of the field and collect gas samples for compositional analysis (OGJ Online, Nov. 10, 2017).

David Biggs, AWE chief executive officer and managing director, said the results exceeded pretest expectations and reinforce the AWE group’s plans for the Stage 2 development. Particularly pleasing is the fewer anticipated number of initial wells and the straightforward facilities design that will be required.

The company expects to release an updated reserves estimate and reach FID before yearend.

AWE of Sydney holds 50% interest. Lattice Energy Ltd., now owned Beach Energy Ltd. of Adelaide, holds the remainder.