Lakes Blue Energy (ASX: LKO), an Australian energy company focused on gas exploration and development, has provided an update on drilling operations at the Wombat-5, side-track-2 (ST-2) well in the Gippsland Basin, Victoria. As of 8:00 am AEST today, the well has been drilling for 49 days and has reached a current depth of 2,297 metres below the rotary table (mRTMD), with a true vertical depth of 1,403 mRT TVD. The horizontal length drilled is 745 metres, with a 24-hour progress of 24 metres, using a 6-1/8” hole size.
The company reported that after correcting the well path by adjusting the hole inclination to 87.2° to ensure intersection of the sands at Wombat-3 at the correct depth, the downhole motor assembly was removed and will be replaced with a rotary steerable assembly (RSS). Lakes Blue Energy confirmed that the hole was in good condition, as no resistance or debris was encountered during the removal of the assembly. The last casing point was a 7” casing set at 1549.1 mRT MD; 1,392 mRT TVD. The current formation, and target formation, is the Strzelecki Formation, with the target formation depth at 1,410 mRT MD; 1,356 mRT TVD.
During the well path correction, further gas shows were encountered, measuring up to 458 units or 91,600 ppm (9.16% C1 to C5). These gas shows refer to the presence of methane, ethane, propane, butane, and pentane gases in the drilling muds returned to the surface. Once the RSS is run to the bottom of the hole, the company intends to drill the 6-1/8” hole towards total depth at approximately 3,050 mRT.
The announcement was authorised for release by the Board of Lakes Blue Energy. For further information, shareholders are advised to contact Chairperson Roland Sleeman.
