Monday 16 September 2013

San Leon Energy 's first shale gas well in Poland: Initial results "encouraging"

In late August Lane Energy (ConocoPhillips controlled) reported that its well in Poland was flowing natural gas. Today San Leon Energy announced "very encouraging" results from its first well in Poland:

San Leon announce it has completed the flow back, testing and initial analysis of its first vertical hydraulic fracture stimulation ("frac") of the Lewino-1G2 well on its 221,000 acre (894 km2) Gdansk W Concession in Poland's northern Baltic Basin.

"The initial results and data collected at Lewino-1G2 are very encouraging and easily justify continued operations on this concession. The amount of data collected along with the flow of burnable gas from the well is an excellent result for this initial frac and test at Lewino and exceeded our expectations for San Leon's first frac in the basin and further underpins our belief that we are in one of the highest potential blocks in the basin. As is seen throughout North America, each working shale is different, and in fact the same shale formations can vary significantly in the same basin. We are at a critical stage in our shale gas exploration in Poland and we are excited to have flowed gas to surface and to have recovered the necessary information to continue to prove this play. Our knowledge of this system has increased exponentially and we believe has accelerated our understanding of the commercial potential of shale gas production in Poland."

It is still early days, but these first results show that Gazprom and others, who, for various reasons have been busy calling shale gas exploration in Poland a failure, have been proven wrong.

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