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Kinetiko Energy's South African Gas Well Hits Record Flow Rates, Boosting Commercial Viability

Flow rates at Kinetiko Energy's South African gas well surpass commercial viability thresholds. The company's substantial resource base and strategic location could lead to significant economic improvements.

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Kinetiko Energy's South African Gas Well Hits Record Flow Rates, Boosting Commercial Viability

Kinetiko Energy has achieved a significant milestone in its South African gas development. The company's Well 271-KA03PT06, located near historic production test wells at Brakfontein, has produced remarkable flow rates, marking a substantial step towards commercial viability.

The well, part of a seven-well production cluster, produced a total gas volume of 2,273 Mscf with a methane content of approximately 98.5%. This flow rate is more than double that of previously tested wells and exceeds the 50 Mscfd threshold for commercial viability. Executive Chairman Adam Sierakowski hailed the results as the highest ever achieved by the company.

The extended flow testing data will be crucial for modelling the economics of each production cluster and completing feasibility studies. TechnoImaging, an independent engineering consultancy, has verified the economic viability of the Brakfontein gas project at a gas flow rate of 50 Mscfd. The achieved flow rates significantly above this threshold could lead to substantial improvements in development economics and reserve estimates.

Kinetiko Energy's South African gas development has a substantial resource base of 6 trillion cubic feet (Tcf) of 2C contingent resources. The company's tenements are situated in South Africa's primary power-producing region, creating natural markets and reducing development costs. The gas from the Brakfontein cluster is set to supply a pilot plant starting in 2026.

Kinetiko Energy's latest flow test results at Brakfontein are a significant boost for the company's South African gas development. With flow rates exceeding commercial viability thresholds and a substantial resource base, the project's economic prospects have improved significantly. The company looks forward to continuing its progress towards production.

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