Perth Basin oil and gas company Norwest Energy NL provided the following update regarding operations at its Lockyer Deep-1 conventional gas discovery well, further to the Company's announcement of 14 March 2022. Operator Energy Resources Limited (ERL) commenced production testing operations on 25 March 2022, with a six day test program designed to determine well deliverability, reservoir quality and gas composition across a 25 metre interval of the Kingia Sandstone (4041.5m to 4066.75m, MDRT). The initial main flow period ran for several hours, during which flow was increased through a number of increasing choke settings.

A maximum sustained flow rate of 102 mmscfd (million standard cubic feet per day) was achieved through a 76/64" choke, with a maximum instantaneous gas flow rate of 117 mmscfd; one of the highest rates recorded onshore Australia. With a well head pressure of 3,618 psi the well was clearly capable of higher rates of delivery, however the main flow period was stopped at this point due to indications of sand being produced to surface. Sand production is to be expected at such exceptionally high flow rates and the produced sand was captured by the installed sand filtration system.

As with the Waitsia development wells, future Lockyer Deep production wells will likely be completed with appropriate sand control measures in place in order to maintain long term reservoir and well integrity. Condensate was produced throughout the main flow period, with a preliminary CGR (Condensate-Gas Ratio) of between 5 to 6 barrels per mmscf gas offering significant value upside. CO2 is low, at 2% to 2.5%, and H2S is just 3ppm to 7ppm.

Testing operations have continued over the weekend and will run for another few days in order to gather essential reservoir and pressure data before the well is shut in for a pressure build-up period. Thereafter the pressure gauges will be retrieved and the well suspended for future completion as a production well.