TMK Energy’s latest pressure tests at its Mongolian coal seam gas project confirm reservoir conditions are aligning with models, moving the company closer to commercial gas production.
- Pressure build-up tests at LF-01 and LF-04 wells show improved reservoir pressure
- Reservoir pressure nearing critical desorption pressure for methane release
- Simulation models closely match observed pressure trends
- Potential to support 2-5MW power generation project within the year
- Formal partnering process to commence post-Chinese New Year
Progress at Gurvantes XXXV
TMK Energy Limited has reported encouraging progress at its Gurvantes XXXV Pilot Well Coal Seam Gas Project in Mongolia. Recent pressure build-up tests at two key wells, LF-01 and LF-04, have confirmed that reservoir pressure continues to improve, aligning closely with the company’s simulation models. This development is a critical step toward reaching the so-called desorption pressure, a milestone that signals the start of significant methane gas production from the coal seams.
Why Desorption Pressure Matters
In coal seam gas projects, methane is initially held tightly within the coal matrix, adsorbed onto the coal surface and restrained by the pressure of formation water. As water is pumped out and reservoir pressure drops, methane molecules begin to detach, a process known as desorption. Once this critical pressure threshold is crossed, gas can migrate through the coal’s natural fractures and be extracted commercially. TMK’s latest tests indicate that the reservoir is trending toward this crucial transition, confirming the project remains on track.
Model Validation and Future Potential
The close correlation between observed pressures and simulation models provides confidence in the project’s technical assumptions. Moreover, simulations suggest that drilling additional wells near the existing pilot complex could accelerate reaching desorption pressure. This would not only hasten gas production but potentially enable a 2-5 megawatt power generation project within the current year, marking a significant commercial milestone for TMK.
Looking Ahead
CEO Dougal Ferguson highlighted that the company is nearing completion of a substantial body of technical work that outlines the development plan. With a formal partnering process set to begin after the Chinese New Year, TMK is positioning itself to leverage these technical gains into strategic collaborations that could underpin the next phase of growth. While the exact timeline for ramping up production remains to be seen, the latest data points to a promising trajectory.
Bottom Line?
TMK’s reservoir pressure gains set the stage for commercial gas flow and strategic partnerships ahead.
Questions in the middle?
- How soon can TMK expect to reach sustained commercial gas production?
- What impact will the upcoming partnering process have on project financing and development?
- How will additional well drilling influence production rates and project economics?