The successful and I would like to add the early conclusion of testing of the Shenondoah-1 well is indeed a very good piece of news. The early finish means that the executions of the testing went by the text book, there were no complications.

I like these results very much:

“The most positive results came from the Middle Velkerri shales where there was no indication of formation water being produced. The sustained gas rates ranged between 50 and 100 mscfpd (thousand standard cubic feet per day), gas gravities ranged from 0.64 to 0.70 and the lower interval also yielded condensate with an API gravity of 43 degrees. Importantly this showed that that these rocks can be stimulated and are over pressured. Both Velkerri intervals will now be considered candidates for future testing, including horizontal drilling with multiple stimulation treatments to establish commerciality.”

Falcon found the proverbial ‘pay dirt’ in the Velkerri shale formation. So, Falcon’s next step is to formulate a plan for multi directional horizontal drilling. The average length of the horizontal well bores in the Marcellus and Eagle Ford shales is between 3000 to 4000 feet, occasionally may be as long as 8000 feet and it may have as many as 50 to 100 ‘fracs’ per horizontal bore. Applying today’s third generation technology, it is conceivable that the Velkerri formation could produce 5 to 10 mmscfpd gas per well.

Watch out Australia! The Falcon has landed!