AUSTRALIAN gas producer and LNG exporter Origin Energy will push forward with operations at its Kyalla-117 well, despite previously saying it would delay artificial lift activities.

Kyalla-117 was drilled by Origin (77.5%) and Falcon Oil & Gas (22.5%) in exploration permit EP117. It was fracced this year, however testing following fraccing showed the well had greater pressures than the reservoir, affecting flow rates. 

On Thursday, the venture announced they would re-enter Kyalla-117 with coiled tubing and apply nitrogen lift to lower the pressure in the wellbore and sustain a gas breakthrough. 

The nitrogen lift was previously expected to take place next year following the wet season.  

"The joint venture has decided to execute operations without delay with all the necessary equipment and consumables for the nitrogen lift being prepared to mobilise to the well site," Falcon said in a statement overnight. 

If successful, the artificial lift will allow for extended production testing. 

The nitrogen injection should lift the fluids in the well and lower pressures, a common technique which was carried out at Origin's earlier exploration well Amungee-NW-1H back in 2016.

The well, which successfully flowed at 1.1 million cubic feet per day over almost two months from the Velkerri B Shale, defined a potential gas-in-place of 61 trillion cubic feet within an area covering 1968 square kilometres across Origin's three permits.

The venture drilled its second well, Kyalla-117 as an appraisal well following the success of Amungee-NW-1H, to a total depth of 3809 metres with a 1579 lateral section in February. 

Source: Energy News Bulletin

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