Commissioning Work for Pilot Gas to CNG Production from Well KA-03PTR Completed

Source: www.gulfoilandgas.com 3/23/2021, Location: Africa

HIGHLIGHTS
? Testing and commissioning of upgraded downhole and surface equipment successfully completed on Well KA-03PTR.
? Well KA-03PTR has commenced cleanup flow in preparation for production well testing.
? Flow rate testing on Well KA-03PTR to commence immediately.
? Access road and terminal landing upgrade completed in anticipation of pilot gas production.
? Final steps being taken to secure gas off-take agreement.

SUMMARY
Kinetiko Energy Limited is pleased to announce the successful upgrade, testing and commissioning of surface and sub-surface equipment on Well KA-03PTR and the completion of upgrades to the access road and terminal landing in preparation of a gas-to-CNG pilot project. Since the successful completion of the well workover program on Well KA-03PTR, Afro Energy commenced a testing and commissioning program in conjunction with Franklin Electrical and Endress Hauser of all newly installed and upgraded surface and sub-surface equipment. This included calibrating and function testing of metering and recording equipment on the existing flow skid, downhole pump equipment and level probes.

Afro Energy subsequently commenced with controlled well flow clean-up periods to clean and condition the well in anticipation of full choke testing of initial gas flow rates, average stabilized gas flow rates, methane content, casing pressure, and other measures. This testing is planned for immediate commencement with results to be announced.

Upgrades to the access road of about 2.5 km and the trailer and terminal landing at the well site have been completed. These upgrades were considered necessary to ensure safe access and provide suitable terminal landing space for projected operations by potential CNG off takers.

Afro Energy is currently in advanced negotiations with potential gas off-takers for small and intermittent gas production from Well KA-03PTR and possibly well KA-03PT2, where they will purchase gas at an on-site transfer point, compress the gas to a required pressure utilising their own compression equipment and feed gas to their CNG trailers for transportation to existing gas-based customers in the Johannesburg and Witbank regions.

The Company intends to apply for full production rights over ER56 as soon as possible after the commencement of production of well-KA 03PTR and seek certification of maiden gas reserves.

This announcement is authorised for release to the market by the Board of Directors of Kinetiko Energy Limited.


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