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Calima Energy And CEO Jordan Kevol Are All-Set For The Strategic Retesting Program In Montney

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Calima Energy And CEO Jordan Kevol Are All-Set For The Strategic Retesting Program In Montney

CALIMA ENERGY (ASX: CE1) unveils the initiation of an effective testing program on the two long-reach horizontal Montney wells drilled and partially tested in 2019 on the Calima Lands. With this, Calima Energy and CEO JORDAN KEVOL intend to de-risk the project and are expected to generate a higher value for the asset, aiming to complete a joint venture, partnership, or trade sale.


The operation of one of the top-tier mining companies in Australia will gauge the gas and condensate flow rates of the Middle Montney Formation in Calima #2. In addition, it will allow for a longer-term test on the Upper Montney in the Calima #3 well. The abundance of condensate and NGLs will further upscale the project economics for prospective CALIMA ENERGY PROJECTS. Currently, the project is funded by cash flow derived from the production activities in the Brooks and Thorsby assets, with current production of around 4,500 boe/d. The latest Calima Energy share price is AUD0.145.


Calima Energy and CEO Jordan Kevol’s Mission Retest


CALIMA ENERGY SENIOR MANAGEMENT AND THE BOARD have sanctioned a work program consisting of an in-depth re-testing of the flow rates from each horizontal Montney wells. It is anticipated to commence in late January 2023, well before the onset of spring thaw conditions. These testing programs will be carried out with sufficient volumes being produced to bring an accurate evaluation of each of the zones. The wells are forecasted to secure valuable gas flow rates. Besides, the work program will validate the expected condensate production rates from the two Montney zones.


Calima Energy and CEO Jordan Kevol also project a striking presence of a condensate-rich resource in the Upper Montney owing to the condensate saturation noted in the core from the vertical Calima #1 well.


Given that the load fluid has had considerable time to leak into the formation, testing the Middle Montney may bring more substantial outcomes in the form of higher gas and condensate rates.


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