- MCF Energy announced a potentially significant gas and condensate discovery at the Welchau-1 well in Austria
- The Welchau-1 well was drilled to a total depth of 1,733.1 metres and encountered 115 metres of rich gas
- Following the logging phase, a 7-inch production casing will be installed and cemented to secure the wellbore for testing, stimulation and potential production activities that will follow
- MCF Energy Ltd. opened trading at $0.33 per share
MCF Energy (TSXV:MCF) announced a potentially significant gas and condensate discovery at the Welchau-1 well in Austria.
The Welchau-1 well was drilled to a total depth of 1,733.1 metres and encountered 115 metres of rich gas shows between 1,452 metres and 1,567 metres with strong evidence of natural fracturing, which is essential for gas production performance.
The highest gas peaks were associated with fractures in the limestone, accompanied by a hydrocarbon odour in unwashed samples. The deepest gas shows were found at a depth of 1,645 metres.
During the core recovery and preservation process, a strong gasoline odour was noted emanating from the core barrel (see image above). The visible ends of the cut core sections revealed a highly fractured carbonate structure.
After the logging phase, a 7-inch production casing will be installed and cemented to secure the wellbore for testing, stimulation and potential production activities that will follow.
MCF Energy will fund the Welchau-1 well costs up to 50 per cent of the cap of €5.1 million (C$7.52 million) and 25 per cent of any well costs exceeding the cap to earn a 25 per cent economic interest in the Welchau investment area.
“The results we have seen after entering the target zone are exactly what we had hoped for in a gas discovery well,” James Hill, CEO and a director of MCF Energy, said in a news release. “The discovery of gas and hydrocarbons in the massive Welchau structure could be a game changer for Austria in the struggle for energy security and independence.”
The Welchau prospect covers 100 square kilometres, is near pipelines and can offer numerous potential drilling sites. The team is drafting initiatives for testing, detailed analysis and forward planning.
MCF Energy Ltd. is a junior resource company engaged in the identification, and the exploration and development, of proven and unproven reserves via drilling and/or acquisition with a focus on the European oil and gas sector. MCF has secured interests in several significant natural gas exploration projects in Austria and Germany with additional concession applications pending.
MCF Energy Ltd. opened trading at $0.33 per share. MCF stock has moved 15.21 per cent higher in the past month but lost 51.85 per cent since this time last year, though it has risen 211.76 per cent since 2019.
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