Coal seam gas search goes on

Driller Craig Armishaw, of Washingtons Drilling and Exploration, operates a modified Minerals Coring Rig on the Goodwin-1 well site near Ohai. The well is the first in L&M Petroleum's search for coal-seam gas in its Western Southland Basin permit. Photo by Robert Landreth

LMP chief executive John Bay said the well at Goodwin-1 was the first of three the company would drill "back to back", in order to gather core samples for analysis.

Mr Bay said the company was also gathering new seismic data near the western end of the Ohai coalfield to determine where subsequent wells would be drilled.

On Saturday, the small crew at Goodwin-1 had reached a depth of 200m with a faltering rig and were still drilling through mudstone.

Site manager and geologist Nicola Cummack said the well was expected to reach a depth of 250m, by which time the coring bit would have passed through two coal seams.

Ms Cummack said once the coal core samples are obtained they would have to be removed quickly and placed in sealed canisters to determine the gas content accurately.

The cores would be stored to measure the coal's "desorption levels" or total gas content, which could take up to six months to be totally "desorbed".

Ms Cummack said it was important for the company to support the local community and over past operations the LMP crews had stayed at accomodation in Nightcaps and enjoyed the hospitality of Southlanders.

"I love coming to work down here," she said.

"Having the support of your local community is important. We try and support the locals."

Ms Cummack said she had heard stories from "old boys" who were forced to leave the mines when the gas build-up had become a danger.

She said in the past coal gas was generally only seen as a hazard and its potential as an energy source was never tapped.

"It's never been turned into a commercial resource," she said.

"[Today] we're chasing it, we want it."

Mr Bay said "realistically" it would take 3 to 4 years before the company started producing gas commercially.

He said the extraction of gas did not involve any invasive mining techniques as, in "very layman terms", the gas was released from the coal in a similar way to the gas which is released from a bottle of Coca-Cola when the cap was removed.

The wells would draw the gas off like "straws", which meant each would only have a small footprint, he said.

"They'd fit into your lounge."

Once the well at Goodwin-1 has been completed, wells would be drilled at Wairaki-1 and Mt Linton-1.

The listed company expects to find around 300 petajoules of coal seam gas in its Western Southland Basin permit.