Kinetiko Energy (ASX:KKO) Reports Successful Gas Production Tests
Production Test Results
Kinetiko Energy’s second production test well, 271-KV06PT, reached a terminal depth of 631m, confirming sustained gas presence and successful flaring. The first production test well, 271-23PT, initially assessed as affected by a geological anomaly, has demonstrated increasing gas presence, maintaining the company’s 100% success rate in encountering gas.
Drilling Optimization Study
Based on the test results, Kinetiko has initiated a drilling optimization study to evaluate whether current drilling procedures may have created a temporary gas block or skin effect, inhibiting initial gas flow. The study is expected to be completed in the coming weeks, with laboratory testing to enhance gas recovery commencing immediately thereafter.
Future Plans
Following the completion of the drill optimization study, Kinetiko plans to continue its production well test program. The company will also focus on the Amersfoort region in collaboration with the Industrial Development Corporation to develop a producing gas field.
Executive Comments
Executive Chairman Adam Sierakowski commented: “We start 2025 with very positive news of gas flaring from the second production test well (271-KV06PT) and stronger gas observations from the first production test well (271-23PT). Initial assessments indicated inhibited gas production from these wells, despite intersecting gassy geology in adjacent core holes. This led us to investigate whether the drilling technique itself—not a geological anomaly—was responsible for the observed inconsistencies. Ongoing testing at well 271-KV06PT has confirmed increasing gas production and a gas flare, supporting the hypothesis that the drilling technique may have created a gas block or skin, temporarily inhibiting gas flow. As elements of this skin begin breaking down, gas production is increasing. To validate these findings and optimise future drilling, we have engaged industry experts to independently assess the drilling and testing results. The lessons learned from this unique, previously untested southern geology will enhance our ability to optimise future drilling programs and increase successful flow rate tests. The findings reaffirm that gas is present in every well drilled in the history of the Company and support the thesis that the gas-bearing geology is ubiquitous through the exploration rights, which supports the development of multiple future gas fields.”
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