TMK Energy’s May 2025 update reveals sustained reservoir pressure declines across multiple pilot wells at Gurvantes XXXV, backed by an independent technical review endorsing ongoing production and new drilling plans.
- Significant reservoir pressure reduction confirmed at LF-01, LF-02, and LF-03 wells
- Independent Technical Review endorses continuation of pilot production and drilling of LF-07
- Tendering completed for LF-07 drilling, expected to start in Q3 2025
- Remediation work on LF-05 to restore full production capacity imminent
- Board strengthened with appointment of Glenn Corrie to support strategic partnerships
Sustained Pressure Decline Validates Pilot Strategy
TMK Energy Limited (ASX, TMK) has delivered encouraging operational progress at its Gurvantes XXXV Coal Seam Gas Project during May 2025. Pressure build up testing at pilot wells LF-01 and LF-03 confirmed a significant and consistent reduction in reservoir pressure, echoing results from April’s LF-02 test. This pattern suggests effective depressurisation across the broader pilot well area, indicating strong connectivity between wells and validating the company’s reservoir model assumptions.
Independent Technical Review Endorses Progress and Expansion
On 21 May, TMK hosted its second Independent Technical Review (ITR) in Brisbane, gathering seasoned experts who unanimously agreed that the Gurvantes XXXV pilot program is progressing as expected. While significant gas breakthrough has yet to occur, the experts emphasized that such outcomes are typical in early-stage greenfield coal seam gas developments. They recommended continued production and endorsed the drilling of an additional pilot well, LF-07, to further advance reservoir understanding and production potential.
Preparing for Next Phase, LF-07 Drilling and LF-05 Remediation
The company has completed tendering for the LF-07 drilling contract, with operations slated to commence in the third quarter of 2025. All critical equipment and long lead items are either in production or en route to Mongolia, underscoring TMK’s commitment to maintaining momentum. Meanwhile, remediation work on the LF-05 well is imminent, with Major Drilling mobilizing its workover rig to restore the well to full production capacity. This remediation is expected to enhance overall pilot project output, which produced approximately 8,300 cubic meters of gas in May despite operational interruptions.
Strategic Board Appointment Signals Growth Ambitions
Adding to the positive operational news, TMK welcomed Glenn Corrie to its board. Mr. Corrie’s extensive network and experience in China are anticipated to be instrumental as TMK seeks strategic partnerships and aims to expand its operational capabilities. This move aligns with the company’s broader strategy to leverage regional expertise and accelerate project development.
Looking Ahead
With robust technical validation and clear plans for expansion, TMK Energy is positioning itself for the next critical phase of its Gurvantes XXXV project. The integration of new data into reservoir models and the upcoming drilling and remediation activities will be key to unlocking the project’s full potential and attracting further investment.
Bottom Line?
TMK’s steady progress and strategic moves set the stage for a pivotal phase in its coal seam gas ambitions.
Questions in the middle?
- How will the drilling of LF-07 impact overall gas production forecasts for 2025 and beyond?
- What timeline is expected for full production restoration following LF-05 remediation?
- How soon might TMK secure a strategic partner leveraging Glenn Corrie’s network?