Kinetiko Energy Ltd is working on an energy transition initiative for South Africa, focusing on commercialising advanced shallow conventional gas projects, such as ER270, located in the Mpumalanga Province.
Kinetiko CEO Nick de Blocq said: “Following an incredibly successful exploration program in 2023 the company spudded the first borehole of the year at 270-08C, slightly north of the town of Memel.
“I am delighted to report that early indications from observations of gassy core samples show a huge gassy interval at depth. Coring is currently deeper than 600 metres with terminal depth (TD) expected around 700 metres.”
The new core well is approximately 17 kilometres North of the town of Memel, approximately six kilometres from the high voltage grid, and 26 kilometres from South Africa’s longest gas pipeline, the Lily Pipeline, which feeds the industries of the KZN midlands and coastal cities.
Core well 270-08C (Figures 1 and 2) is designed to test the potential of the sediments overlaying the southerly-dipping basin structures.
This core well is anticipated to provide deeper, higher-pressured gassy sandstones and coal sequences.
On 22 January 2024, drilling commenced for core hole 270-08C, progressing below 600 metres.
Core well 270-08C encountered huge gassy sandstone intervals in deep stratigraphy below 500 metres.
The photos are examples of residual gas bubbles emitting from coals and sandstones as each three-metre coring run reaches the surface.
Findings show that gas-rich zones were discovered beneath the coal layers of this project — the sandstone layers below the coal contain residual gas bubbles, along with carbonaceous sandstone, siltstone, and mudstone.
Specifically, 2.53 metres of coal were sealed in desorption canisters, and within less than a week, the gas content ranged from two to four cubic metres per tonne of coal.
As drilling continues to the terminal depth, wireline logs will be used to confirm the presence of gas-bearing zones at depths exceeding 477 metres.
These discoveries are significant, as they support the company’s belief that the geology across their exploration rights is connected, suggesting a substantial gas resource.
The gas is located in conventional sandstone reservoirs within honeycombed dolerite compartments.
As the exploration progresses, two more core wells are planned for 2024 as part of the ongoing exploration efforts in ER270.