- Strike Energy has found a significant gas discovery in the Wagina sandstone at the West Erregulla-2 drilling campaign
- The Wagina Sandstone appears to have good quality with a gross section of 74 meters
- The company will continue to drill at the project
Strike Energy has found a significant gas discovery in the Wagina sandstone at the West Erregulla-2 drilling campaign.
The Wagina Sandstone appears to have good quality with a gross section of 74 meters.
The well section was finished without observing the whole Wagina area and there is potential for more Wagina sands to be found in that area.
The West Errgulla 2 is at the Warrego gas project in North Perth Basin, Western Australia.
The onshore permit EP469 located in West Errgulla 2 is being drilled to a total depth of 5,200 metres.
In 2018, Strike Energy farmed into EP469 exploration for 50 per cent with Warrego Energy.
As part of the farm-in agreement, Strike will free carry the first $11 million of well costs for the drilling of the West Erregulla 2 well.
Strike energy is an independent oil and gas exploration company based in Adelaide, Australia.
Warrego Energy is an UK/Australian based petroleum exploration, development and production company with assets in Australia, Spain and Uruguay.
Strike’s Managing Director Stuart Nicholls is happy with the discovery.
“This is a significant discovery and comes from a secondary target which carried a low pre-drill probability of success,” he said.
The company will focus on the remaining targets, including a conventional gas target in the Basal Wagina sandstone and the primary gas sand sequence in the Kingia High Cliff.
“With good porosity trends continuing with depth, Strike believes that it is on track to find a good quality reservoir within its primary target in the Kingia-High Cliff,” Stuart added.
The company will continue to drill at the project.
“With the primary target remaining to be drilled and potentially even more Wagina to come, this is a very exciting time for the company.”
Strike Energy is up 10 per cent today and is currently selling shares at 13.8¢ per share. While Warrego Energy is up 17.7 per cent and is selling at 20¢ per share.