According to TRUenergy, in November 2007, owners of the sites, Rawson Resources and Energetica Resources had agreed to a farm-in agreement, allowing TRUenergy to explore for coal seam methane (CSM) in two permits, ATP837P and ATP 873P, in exchange for 70% of the CSM rights.

TRUenergy will use the Ancon Rig 1 to drill, core and test the coal seam gas (CSG) exploration wells. Wells will be drilled to depths of up to 700m to test the Walloon Coals which are productive for CSG in the adjacent Lacerta CSG Field operated by Sunshine Gas.

Cores from these wells will be gathered and tested to gather data on coal seam methane potential within the permits. Assessment of further work requirements followed by examination of pilot production options will be assessed in early 2009, said the company.

Following completion of the farm-in commitment work the CSM joint venture will comprise TRUenergy holding 70% interest as operator, Rawson Resources with 15% and Energetica with 15%.

TRUenergy provides with electricity generation, energy contracts management and trading, gas storage and retail energy services.

 

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