TMK’s Gurvantes Project Faces Pressure to Deliver as Critical Threshold Approaches
TMK Energy reports significant progress in reducing reservoir pressure at its Gurvantes XXXV Coal Seam Gas Pilot Well, approaching the critical threshold for enhanced gas production.
- Reservoir pressure at LF-02 reduced by approximately 900 kPa, nearing critical desorption pressure
- LF-02 well continues unassisted gas flow during 10-day pressure build-up test
- Additional production wells drilled in late 2024 positively impacting reservoir pressure
- Planning and ordering underway for new production well LF-07 to boost capacity
- Pilot project on track to meet license commitments and increase gas output
Progress at Gurvantes XXXV Pilot Well
TMK Energy Limited (ASX: TMK) has announced encouraging operational progress at its Gurvantes XXXV Coal Seam Gas (CSG) Pilot Well Project during April 2025. The company reported that reservoir pressure at the LF-02 well has dropped by approximately 900 kPa since the pilot program began in July 2023, reaching about 90% of the critical desorption pressure needed to initiate significant gas flow from the coal seams.
This pressure reduction is a key milestone because it signals that the coal within the thick production interval has begun desorbing gas naturally, a process essential for sustained production. The LF-02 well notably continued to produce gas unassisted throughout a 10-day pressure build-up test, even during a shutdown period, indicating that some coal zones have already reached the critical pressure threshold.
Impact of Additional Wells and Future Plans
TMK attributes part of this positive development to additional production wells drilled in late 2024, which appear to be accelerating reservoir pressure depletion and enhancing gas recovery. The company is now planning to drill a further production well, LF-07, to meet license commitments and increase production capacity. Ordering of long lead items and contractor tendering for this well are already underway, signaling a proactive approach to scaling up operations.
CEO Dougal Ferguson expressed optimism about the pilot project’s trajectory, highlighting the significant pressure reduction achieved and the ongoing gas production as strong indicators of the project’s viability. He emphasized that the company is entering an exciting phase as it approaches the critical desorption pressure target, which should unlock further increases in gas production rates over time.
Operational Challenges and Outlook
While the pilot well LF-02 has performed well, the company noted some temporary shutdowns during April related to equipment remediation at other wells such as LF-05. These interruptions are expected to be resolved shortly, allowing full production to resume. TMK has committed to providing regular operational updates to keep investors informed of progress and any challenges encountered.
Overall, the April 2025 operations review underscores TMK Energy’s steady advancement toward unlocking the full potential of the Gurvantes XXXV CSG Project. The combination of sustained pressure reduction, ongoing gas flow without artificial assistance, and planned capacity expansion bodes well for the company’s medium-term production outlook.
Bottom Line?
TMK Energy’s nearing of critical desorption pressure marks a pivotal step toward ramping up gas production at Gurvantes.
Questions in the middle?
- What are the expected production rates once LF-07 is operational?
- How will reservoir pressure trends evolve beyond the pilot phase?
- What financial impact will increased production capacity have on TMK’s revenue?
