Kinetiko (ASX:KKO) get gassy at core well 270-03

Kinetiko Energy is fired up after achieving gas content of over 10 cubic metres a ton and rising at from core well 270-03C, hefty results which point towards a commercial field just seven kilometres away from South Africa’s largest gas pipeline.

It is the first well in the glacial Dwyka formation where reserve quality sandstone has been observed, with Wireline logging results establishing 153.5 metres of sandstone pay zones and coal seams of a combined 5.75 metres of thickness were encountered.

The excitement from Kinetiko Chief Executive Nick de Blocq was palpable, who said the company was thrilled with the returns.

”The second of our three core hole campaign in Block ER270 has reinforced our
deliberate mapped out drill program in a big way! Yet another record breaker, in fact,” he said.

“Cutting over 150m of gas pay, finding reservoir sands in the Dwyka formations a group of one of four geological groups that compose the Karoo Supergroup and samples heading north of 10 after only a month in the lab are wonderful indicators of a very commercial field on the doorstep of both the Lily pipeline and the thermal industries and GTP engines within Newcastle itself.

“We honestly could not be happier with the outcome!”

It is another triumph for a company which consistently made them, hitting a 100 per cent exploration success rate across a massive 7000 square kilometres of granted territory and backed by a South African government desperate for new energy sources.

Coal is in decline and renewables far away, so the rainbow nation has turned to gas reserves to alleviate a crippling energy crisis which continues to worsen, and Kinetiko look as likely as anyone to claim a new commercial gas field where one is most needed.

KINETIKO FPO [KKO]

Sector: Energy

Industry: Oil & Gas E&P

Employees:

Kinetiko Energy Limited, together with its subsidiaries, engages in shallow conventional gas exploration activities in South Africa. Its flagship properties are the 100% owned Mpumalanga and the Amersfoort project located in South Africa. Kinetiko Energy Limited was incorporated in 2010 and is based in Perth, Australia.

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