Senex, QGC to Start CSG Drilling Program

Senex Energy and joint venture partner and operator QGC – a BG Group business (QGC) have commenced an 11 well coal seam gas appraisal program in the eastern Surat Basin in Queensland in permits PL 171 and ATP 574P.

The 2012 program, comprising 10 appraisal wells and one core well, aims to materially increase Proved and Probable (2P) reserves and to provide geographic distribution of subsurface information of the Walloon Subgroup, enabling greater accuracy in geological modelling and reservoir simulation predictions in PL 171 and ATP 574P.

Three wells under the program have already been drilled and three other wells are expected to be drilled in the next one month. One of the three wells, Alex-10 is expected to spud next week.

Senex holds a 20% interest in PL 171 and a 30% interest in ATP 574P.