Red Sky Energy intersects gas pay at Yarrow 4
- Red Sky Energy intersected two gas-saturated zones totalling 5.4m of gas pay at its Yarrow 4 development well in Innamincka.
- Following the announcement, the Red Sky share price was unchanged at $0.0010.
- The operator Santos recommended casing and suspending the well for future hydraulic stimulation and production.
Red Sky Energy (ASX:ROG) has reached a depth of 2,908m at its Yarrow 4 well after intersecting gas pay in the Tirrawarra Sandstone.
The finding compares to the operator’s primary target expectations, intersecting 5.2m of low deliverability gas pay in the main reservoir and 0.2m in the Patchawarra Formation.
"The next step is to bring in a workover rig to stimulate and complete the well, while Rig 184 moves across the pad to drill Yarrow 5," said Red Sky Managing Director Andrew Knox.
A downhole survey recorded a reservoir pressure of approximately 3,335 psi, with a workover rig scheduled to fracture and stimulate the site. Red Sky stated that the rig will subsequently move across the dual-well pad to drill the Yarrow 5 well.
Following the announcement, the Red Sky Energy share price was unchanged at $0.0010.
Santos operates the well in the PRL 17 permit, while Red Sky holds a 20% working interest.
The Yarrow two-well programme follows the execution of a binding authority for an expenditure agreement between Red Sky and Santos earlier this year.
