TMK Energy Introduces DTS Technology in Mongolia's Gurvantes XXXV Project
TMK (TMK) Share Update August 2024 Sunday 11th
TMK Energy to Deploy Advanced DTS Technology in Mongolia
TMK Energy Limited (ASX: TMK) has announced the deployment of Distributed Temperature Sensing (DTS) technology in its phase two pilot well drilling program at the Gurvantes XXXV Project in Mongolia.
Instant Summary:
- TMK Energy to deploy DTS technology in Mongolia's Gurvantes XXXV Project.
- DTS data aims to optimize production performance by identifying 'sweet spots' in the coal seam.
- First deployment of DTS technology in Mongolia.
- TAQA, a leading international energy company, to provide the DTS technology.
- Drilling program scheduled to commence in late August 2024.
Introduction of DTS Technology
TMK Energy Limited (ASX: TMK) has announced that it will install TAQA's Distributed Temperature Sensing (DTS) technology in two new pilot production wells at the Gurvantes XXXV CSG Project. This marks the first time such technology will be deployed in coal seam gas wells in Mongolia.
The DTS technology allows the company to collect real-time downhole well data to manage and optimize well and reservoir performance. The fibre optic technology can sense temperature with sensing points uniformly distributed along the length of the fibre optic cable, which is run in the wells and attached to the production tubing. In CSG wells, it can identify gas and water inflow locations within the well.
Benefits of DTS Technology
With approximately 70 meters of coal within the upper coal seam at Nariin Sukhait open to the well bore, the DTS technology aims to provide valuable information on which zones within the 70 meters of coal seam are contributing water and gas. This will allow future completions to be more targeted to the most productive zones, potentially identifying the 'sweet spots' within the coal seam for alternative drilling and completion methods in future field development planning.
Deployment and Data Collection
TMK has placed an order and paid for the equipment, which is due to be delivered to the Gurvantes XXXV site in the coming weeks. The DTS fibre optic technology will be installed at the same time as the well completions and is planned to be installed in Lucky Fox 4 and 5, providing data from two closely located wells that can be easily correlated.
Following the installation and commissioning of the new pilot production wells with the DTS systems installed, the data collection process will commence. After a few weeks of production, accurate analysis of the data can begin. The data is collected in real-time and can be correlated with well logs to help determine the water and gas inflow from various coal intervals.
Future Utilization
Once sufficient data has been collected from a well, the DTS fibre optic cable can be retrieved and re-deployed in other production wells as they are drilled. It is expected that as the field development progresses in future years, the DTS technology will be continually utilized to assist in the design of future well completions.
About TAQA
TAQA Well Solutions is a leader in energy industry services, offering differentiated and competitive products and services, including drilling, well completions, and intervention services. TAQA's global presence and local manufacturing capabilities enable them to design bespoke solutions tailored to specific operating environments.
The deployment of DTS technology is expected to significantly enhance TMK Energy's ability to optimize well and reservoir performance. By identifying the most productive zones within the coal seam, the company can improve production efficiency and reduce operational costs. This technological advancement could positively impact TMK Energy's stock price as investors recognize the potential for increased production and profitability.
Investor Reaction:
Analysts are likely to react positively to this announcement, as the deployment of advanced technology demonstrates TMK Energy's commitment to innovation and efficiency. The collaboration with TAQA, a reputable international company, further strengthens TMK's position in the market. Investors may view this development as a strategic move to enhance the company's long-term growth prospects.
Conclusion:
Investors should keep an eye on TMK Energy's progress with the deployment of DTS technology and the subsequent data analysis. This initiative has the potential to significantly improve production performance and optimize well completions, making TMK Energy a promising investment opportunity. Stay informed on the latest developments and consider the long-term benefits of this technological advancement.