The company has formulated a development plan that includes the drilling of new wells off-setting good producers (wells that had initial production rates of 50-150 MCFD) and reworking wells to improve current production rates.

The project reportedly has several traditional reservoirs and coal methane zones that are charged with hydrocarbons, thus providing multiple pay zones in one well. These zones may be produced individually or commingled to increase production rates for each well. Primary hydrocarbons are oil, natural gas and methane gas, with estimated pay thickness of 2 to 20ft for reservoir rocks. Most coal seams range in thickness from 2′ to 8′ of pay with about 3-4′ being the average pay thickness in this project.

William Robinson, president of Cavu Resources, said: “We have targeted three wells to rework and seven new wells to be drilled over the next three months. We are developing this project utilizing our own drilling equipment and local contractors. It allows us to take our time when drilling these wells, so that we can optimize production from the many hydrocarbon bearing zones all in one well.

“By using our own pipelines we are able to deliver our natural gas direct to market without having to sell to a third party, saving anywhere from 20-40% of the production revenues for transportation charges.”