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Be the first with the news that moves the market- Anson Resources (ASN) sees continued high pressure and flow rates at the Long Canyon Unit 2 well within its Paradox project in Utah
- Drilling has reached target depth at the top of the Mississippian units, and ASN has been monitoring and testing the well pressure
- This test work has confirmed that over-pressure extends for more than 12 kilometres from the Long Canyon Unit 2 well across the project area in the Clastic Zone 31 horizon
- Given the pressures and porosity of the area, ASN expects artesian flow of the extracted brine, which it says could result in cost reductions and positive environmental, social and governance outcomes
- Shares are trading 7.7 per cent higher at 14 cents at 11:04 am AEST
Anson Resources (ASN) has seen continued high pressure and flow rates at the Long Canyon Unit 2 well within its Paradox project in Utah.
The company is undertaking test work at the well as part of its exploration program, which aims to convert the existing exploration target into an indicated and inferred resource.
Drilling has reached a target depth of 7670 feet at the top of the Mississippian units, and last week, ASN told investors it had achieved the first brine flow, with samples being collected for petrological analysis.
Now, as the company monitors and tests the well pressure, it has confirmed that over-pressure extends for more than 12 kilometres from the Long Canyon Unit 2 well across the project area in the Clastic Zone 31 horizon.
Anson said it had also assessed historical downhole geophysical logs data which indicated this area had very high porosity.
The pressures recorded, in conjunction with the porosity of the area, are expected to result in artesian flow of the extracted brine.
According to the company, this means fossil fuels will not be needed to power the pumps, providing a reduction in extraction costs as well as positive environmental, social and governance outcomes.
In preparation for extraction, Anson has located the production pads where the Roberts Rupture and the Cane Creek Anticline structures intersect.
Executive Chairman and CEO Bruce Richardson said the company expected the uniform high pressure in the rock units across the 100-square-kilometre area of the project to result in continuous flow for an extensive period from these extraction pads.
“Pressure is always looking for a pathway to release and brine extraction wells will offer that opportunity,” Mr Richardson said.
Company shares were trading 7.7 per cent higher at 14 cents at 11:04 am AEST.
