Jade Gas has outlined plans for 2D and 3D seismic surveys to assess whether its Tavantolgoi XXXIII Coal Bed Methane Project (TTCBM) in Mongolia contains additional gas-bearing horizons beneath the coal seams targeted for development.
The proposed programme will examine the wider geological sequence, including potential shale gas and tight sandstone gas reservoirs, rather than focusing only on deeper coal seams.
Initial 2D seismic is intended to map broad structural and stratigraphic features. Targeted 3D surveys would then provide higher-resolution data to help rank locations for possible deep exploration wells.
The company said its approach draws on examples from China’s Ordos Basin, including the Linxing gas field, historically developed by Sino Gas & Energy, which was formerly listed on the Australian Securities Exchange.
Exploration in the region identified vertically stacked coal bed methane, shale gas and tight sandstone gas horizons within coal-measure sequences. The Daning-Jixian area has also recorded coal bed methane development at depths exceeding 2,000m.
Jade said it had received enquiries from international energy companies about the deeper potential at TTCBM.
It intends to use the seismic results to improve understanding of the depth, distribution, continuity and geological setting of any prospective horizons before deciding whether to drill.
Jade Gas executive director Ian Wang said: “We already know that TTCBM hosts an established coal-measure gas system, and our focus is now on understanding how much further that system may extend at depth.
“The planned 2D and 3D seismic programme will allow us to evaluate the broader geological sequence and identify any additional prospective gas-bearing horizons beneath those currently underpinning our development strategy.
“The inbound inquiries we have received from international energy companies regarding TTCBM’s deeper gas potential reinforce our view that this is an opportunity worth investigating. The seismic programme will provide the geological definition needed to identify and rank deeper targets before committing to exploration drilling.”
The deeper work is a longer-term exploration initiative and does not change Jade’s near-term focus on developing and commercialising its established resources at Red Lake.
Last month, Jade Gas lodged a plan for development of operations for the TTCBM project with Mongolia’s regulator and agreed a proposed 502km² production licence area.
“Jade to assess deeper gas potential at Mongolia’s TTCBM project” was originally created and published by Offshore Technology, a GlobalData owned brand.
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