Sydney-listed Central Petroleum has contracted a rig that will drill three appraisal pilot wells at its Range gas project in Queensland’s Surat basin, the company said on January 25. The first well is expected to spud in early April. 

“The three pilot wells are designed to produce water to surface and gas to a local flare in order to provide key subsurface and production data,” Central said. “If successful, this pilot well programme will be the catalyst for the Range joint venture to finalise a ‘bankable’ full-field development plan in support of a final investment decision (FID).” 

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Central said that the Range joint venture is working on key state and federal approvals in order to accelerate the planned FID and full-field development. The project is being progressed under a 50:50 joint venture between Central and Incitec Pivot. 

The Range gas project is situated within the greater Walloons fairway, close to existing producing coalbed methane fields. According to Central, the project has access to nearby infrastructure and transmission pipelines. Present estimates are that the project could produce about 45 terajoules/day of gas, the company said.