TMK Company Extracts Record Amount of Gas in Mongolia

Ирина Орлонская World
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TMK Company Extracts Record Amount of Gas in Mongolia

According to MiddleAsianNews, TMK Energy continues to impress with its successes, having set a new record for gas production at its Pilot Well project, which is part of the Gurvantes XXXV program aimed at extracting methane from coal seams in southern Mongolia.

On January 21 of this year, the company recorded a record gas production volume of 674 m³, equivalent to over 23,800 standard cubic feet per day.

A new record for monthly gas production was also set at the Pilot Well site, amounting to 18,370 m³, surpassing the December figure of 16,306 m³.

As a result, the average daily gas production for the month was 593 m³, which is 13 percent higher than the record average for December, which was 526 m³. It was also reported that stable water production was 497 barrels per day.

The observed achievements highlight significant growth in production at the project. The recently drilled LF-07 well, which is at a high level, demonstrated a production rate of over 10,000 standard cubic feet per day, becoming the first to reach this mark. It achieved this production rate twice in January.

“Six months of gas production growth have strengthened our confidence in the project. We plan additional pressure testing in February to gather more data on reservoir pressure decline, which is another key indicator for future success,” commented Dougal Ferguson, CEO of TMK Energy.

According to Ferguson, minor power supply interruptions from third parties at the end of the month temporarily affected gas rates, confirming the benefits of generating its own electricity from gas production.

This month, additional pressure testing is planned to gather information on the rate of reservoir pressure decline, known as desorption, which is crucial for determining the future success of the project.

The company is confident that it is reducing desorption pressure to the necessary level for a significant increase in gas volumes. Modeling conducted last year showed a clear path to achieving this level.

It should be noted that continuous water production at nearly 500 barrels per day contributes to reducing pressure in the coal seams and gas desorption. Dewatering helps lower pressure, causing gas desorption from the coal seams. Recent studies confirmed that the majority of water is extracted from the coal seams.

TMK has focused on reducing reservoir pressure below the critical desorption level, which is one of the reasons for drilling additional production wells last year.

Additional wells will help ensure the necessary capacity for quickly reaching critical pressure, allowing the project to significantly increase gas production volumes. It is expected that gas production will rise after this goal is achieved.

The LF-07 well was drilled last year using the powerful TXD200 drilling rig, which was used for the first time in the country. The Canadian company Major Drilling, which previously drilled six wells on this project, utilized new technologies to enhance drilling efficiency.

The company's management expects that industrial gas production will soon begin at the Pilot Well site, which covers 60 km² in the Narain-Sukhait area. The company's contingent resources (2C) amount to 1,214 billion cubic feet, making them the largest in Mongolia. Currently, the project includes prospective resources of 5,300 BCF over an area of 8,400 km².

Despite a light snowfall and freezing temperatures in the region, the company is proud of its team, which consists mainly of local citizens who have experience working in challenging winter conditions.

Mongolia is moving towards cleaner energy sources, phasing out outdated coal technologies and transitioning to methane, which is a cleaner fuel that produces half the carbon dioxide compared to coal-fired electricity and burns more efficiently.

With its strategically convenient location close to China and its gas pipelines, TMK has a unique opportunity to accelerate Mongolia's and East Asia's transition to cleaner energy sources through the Gurvantes project.
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