Elixir Energy Ltd (ASX:EXR, OTC:ELXPF) is highly encouraged by unexpected high pressure at Daydream-2 wellhead during preparations for the resumption of on-site operations at the 100%-owned Grandis Project in the Taroom Trough in Queensland, Australia.
On-site operations for the Daydream-2 stimulation and testing program have recommenced with Elixir’s contracting staff returning to the well-site to prepare for the arrival of the coil tubing unit (CTU), which was recently imported from New Zealand to undertake work for Elixir and its neighbouring operator.
High wellhead pressure
As part of the preparations, pressure at Daydream-2 wellhead was recently measured at 3,410 psi - despite having a full column of saline water in the hole.
Although the pressure is safely contained behind two separate barriers and presents no issues with respect to the planned work program, the high pressure was unexpected.
“Great potential”
Elixir’s managing director Neil Young said: “The unexpected high pressure at the Daydream-2 wellhead is yet another example of the great potential of the Taroom Trough to contribute gas from an enormously thick gross section containing multiple sedimentary forms.
"The next month or so will be an exciting time for Elixir as we continue to learn more and more from what has been an incredibly valuable appraisal well to date.”
Likely cause
The likely cause of this anomalously high wellhead pressure could be:
Elixir said that the upcoming stimulation and testing program would attempt to clarify this issue as the company moves to flow-test the Lorelle sandstone and stimulate other zones higher in the hole.