Elixir Energy Limited provided an update on the extended pilot production project underway in the Nomgon IX Coal Bed Methane (CBM) Production Sharing Contract (PSC) in the South Gobi Basin, Mongolia. According to Elixir, since pilot production from the Nomgon-8 and 9 wells reached 200,000 standard cubic feet per day (scfpd) for the first time earlier this month, Elixir has shut down the two wells once more to record downhole pressure buildups. During the show's early stages, the pressure plot from Nomgon-9 reveals a robust buildup, indicating good reservoir pressure support.

Following the shut-in period, Elixir has decided to workover both wells to improve production efficiency. The workover will precisely remove and replace all gauges in both wells, clean and wash all cuttings and material from the wellbore, change and lower downhole pumps, and recalibrate all surface equipment. Elixir said given the hard Gobi winter under which the equipment has been functioning, this is considered a regular task that will be finished in 10 days for both wells.

The extended production test at Nomgon will then continue for another couple of months to maximise the pilot's data collection goal. The standard Government-mandated tendering process for the 2023 drilling program is nearing completion, and once completed, it will result in the award of tenders and the start of the drilling program for 2023.