Kinetiko  reports “Sizable exploration opportunities”

Pic source: proactiveinvestors.co.uk

NATURAL gas exploration JV, Kinetiko and African Energy have reported promising natural gas finds from its Korhaan project wells, located in the Amersfoort district in Mpumalanga. (See CBN June edition – ‘More gas, less talk, more action’.)

A company statement quotes:

Korhaan project well summary

All the Korhaan Project holes were percussion drilled to intersect carbonaceous sandstone and coal geology at depths that ranged from 130 metres to 450 metres.

The wells are conventional and have unsophisticated completions as they are open holes that test the entire sub-karoo section and have successfully flowed low pressure gas.

The Korhaan well project is within the Ermelo Coalfield.

Gas exploration has focused on coal sandstones, coal and other carbonaceous structures at depths of 130 metres to 450 metres.

Korhaan-3

Korhaan 3 was tested during May 2022 and had a successful series of multiple flows and shut-in periods.

Encouragingly, each period showed an increase in both flow rate and build-up pressure, proving its placement within a large compartment with rapid recharge functionality.

The last flow period produced very high-quality gas (~98% methane, 2% nitrogen and zero CO2) at a sustained rate of over 92 Nm³/hour (83 mscfpd – Million standard cubic feet per day) gas flow with a shut-in pressure build-up of over 12 bar.

Pilot production potential

Kinetiko is planning to enter a pilot production phase in the near future with highly experienced gas-to-power partners Vutomi Energy (Pty) Ltd.

This programme entails using existing wells at Brakfontein to produce gas to an in-field, containerised generator linked to the existing grid running through the farmlands.

The first phase of commissioning and testing will be undertaken targeting 1 megawatt of output.

Further phases are planned for the upgrading of the conductors and transformer to enable a scalable modular system increased output to 5 megawatts.

Kinetiko is in ongoing discussions with additional multiple midstream customers.

There is an increasing and urgent need for LNG to thermal industries and transportation, urea for fertilisers, ammonia for mining applications and the domestic market is becoming increasingly attracted to the potential for gas sourced from within Kinetiko fields.

Said a company spokesperson: “The company is focused over the next three months on achieving major milestones by securing our first domestic gas customers and booking maiden gas reserves certification.”

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