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TMK completes initial drilling at Mongolian CBM project www.naturalgasworld.com

Australia’s TMK Energy has completed the initial exploration drilling programme at the Gurvantes XXXV coalbed methane project in Mongolia, it said on September 28.
Total net coal thickness at Snow Leopard–03R (SL-03R) step out well increased by 25% to 175 m from 140 m. TMK drilled five wells in the initial stage with the fifth well, SL-5, added later. SL-5 is currently being respud due to technical difficulties.
Netherland, Sewell & Associates (NSAI) have now been engaged to start the company’s maiden independent contingent resource assessment for the project. The assessment is expected to take approximately six weeks to complete and will integrate the new data obtained from the initial exploration drilling programme.
TMK holds a 100% interest in the Gurvantes project. Fellow Australian energy company Talon Energy is earning a 33% working interest in the project under an existing two-stage farm-out agreement executed in February 2021.
With the completion of the fourth exploration well pursuant to the two-stage farm-out agreement with Talon, the initial drilling obligation under stage one is now complete, TMK said.
If Talon elects to proceed, the next stage of the farmout agreement consists of a commitment by Talon to fund 100% of the next $3.15mn which is budgeted towards the pilot production well programme, after which it will have earnt a 33% interest in the project. Talon can elect at any time within 90 days from September 26 to proceed with the next funding stage.
“Prior to and irrespective of any formal election from Talon with respect to the next stage of the farmout agreement, the company has elected to fast track the planning and design process of the pilot well programme,” TMK said.


Published Date:2022-09-29