TMK Energy Limited (ASX:TMK) June gas production increases 8% at Gurvantes XXXV Pilot Well Project
TMK Energy Limited has reported higher average daily gas production for June 2026 at its 100% owned Gurvantes XXXV Pilot Well Project, together with ongoing drilling preparation activities and updates on the Power Generation Project in Mongolia.
Highlights
June average gas production ~742 m3 per day (~26,200 scfd), an 8% increase from May ~687 m3 per day
Second gas spike of ~30,000 scfd equivalent observed at LF-07 during June
LF-07 gas production ended the month ~20% higher than May
LF-03 was offline during June awaiting pump replacement
Water production ~430 barrels of water per day during June
Major Drilling confirmed as successful tenderer for pilot well drilling program, contract negotiations underway
Long lead items ordered for drilling of up to three pilot production wells and a workover program
Drilling and workover program expected to commence in August
Average gas production during June was ~742 m3 per day, approximately 26,200 standard cubic feet per day (scfd), compared with ~687 m3 per day in May, an 8% increase.
LF-03 was offline during June awaiting pump replacement, which will be undertaken as part of the 2026 drilling and workover program, while water production across the field was approximately 430 barrels per day during June.
Gas rates at LF-07 recorded a second gas spike during June of ~30,000 scfd equivalent, with operating procedures updated and a larger orifice plate installed to measure higher gas rates.
LF-07 was returned to production and is currently producing between 14,000 and 15,000 scfd, approximately 10% to 20% above June’s average rate range.
During June, the Company completed the regulatory drilling tender process, with Major Drilling confirmed as the successful tenderer, and Major Drilling has previously drilled all seven pilot wells, with final contract negotiations underway and execution expected in the coming weeks.
The Company has ordered long lead items required for drilling of up to three pilot production wells and a workover program designed to improve long term production performance, with the 2026 drilling and workover program expected to commence in August.
TMK Energy’s Chief Executive Officer Mr Dougal Ferguson commented:
“Encouraging production data and subsequent analysis undertaken during June by our operations team, has helped guide us towards a more flexible and capital efficient 2026 drilling and workover program, designed to ensure maximum flexibility and allow us to quickly and appropriately modify the program if circumstances dictate.”
The Company’s partner in the Power Generation Project, Dashvaanjil Group LLC, is progressing engineering and design work under the Memorandum of Understanding signed in May 2026.
Following completion of this work, the parties will proceed to negotiate a commercial framework agreement prior to a joint final investment decision regarding the Power Generation Project, ownership structure, and gas and power offtake agreements.
Dashvaanjil Group LLC was recently recognised by the Mongolian Chamber of Commerce and Industry and the Government of Mongolia as one of Mongolia’s top 100 enterprises.