Overview
Finavera Gas holds 100% working interest in the licences, which cover 1,630 km2 (402,000 acres) of the highly prospective Lough Allen Basin. In 2004, McDaniels & Associates in Calgary estimated that one of three reservoirs in the basin had the potential to contain as much as one trillion cubic feet of natural gas. Subsequently, in September 2005, Schlumberger Oilfield Services gave a P50 gas-in place estimate of 9.4 trillion cubic feet of gas (1.5 billion barrels of oil equivalent) in two of three reservoirs in the basin. A total of twelve vertical wells were drilled in the licensed area between 1960 and 2001. Every well drilled in the licenced area flowed and/or showed gas, which indicates the basin is gas charged. Attempts made to extract the gas resource were deemed uneconomic at the time of drilling.
Finavera believes the rising price of natural gas, coupled with the company’s planned application of proven technology (which has not been used in the basin before) combine to potentially make this an asset of international significance.