Mining

Kinetiko Energy starts drilling at well 271-23PT to boost gas production in South Africa

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Kinetiko Energy (ASX:KKO) has begun drilling at well 271-23PT, marking a significant phase in its five-well gas production test program in Mpumalanga Province, South Africa.

The initiative focuses on commercialising Kinetiko's advanced shallow conventional gas projects, with the aim of addressing South Africa's critical energy shortages.

Executive Chairman Adam Sierakowski stated, "The spudding of our first well in this five-well production test program is exciting for Kinetiko and its stakeholders. We are one step closer to demonstrating the commercial viability of our vast gas resources and contributing to South Africa's urgent need for cleaner, more reliable energy solutions."

The production test program, which will run for up to 90 days per well, aims to gather essential data on gas flow rates and depletion curves.

Initial results from well 271-23PT are anticipated by early November.

The wells are strategically located near key energy infrastructure, such as the Majuba Power Station, to facilitate rapid commercialisation.

Kinetiko's existing 6 TCF (2C) contingent resource could see considerable growth from this testing program.

The data obtained will assist in certifying reserves and expanding future production clusters, significantly bolstering the company's commercial gas field development plans.

The company will continue to provide regular updates on drilling and gas flow testing results.

Kinetiko's well-positioned assets have the potential to become a major source of power for South Africa, supporting the nation’s shift to modern energy solutions.

Kinetiko Energy is an Australia-based gas explorer focused on advanced shallow conventional gas and coal bed methane opportunities in developing markets in Southern Africa. Its flagship project includes the Amersfoort Gas Project in South Africa.

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