Tulainlyo Gas Project
- As announced on June 5, 2017 Magnum has signed an agreement to take an interest in Gasfields LLC a US registered company that holds rights to acquire via farmin up to a 33.33% interest in the potential giant – scale untested, Tulainyo Gas discovery in the Sacramento Gas Basin, California.
- An appraisal well is planned to commence in September, 2017.
- If appraisal drilling is successful, the Tulainyo project is well placed for a commercial development, with good proximity to gas markets and infrastructure, and moderate onshore California development costs
- The Tulainyo Gas Discovery structure is a large anticline with up to 91km² of closure. It has a strong surface expression, gas seeps and gas encountered by historic drilling
- Drilling in 2014 by the joint venture encountered multiple, stacked gas bearing conventional reservoirs that were not tested due to mechanical difficulties
- Magnum estimates recoverable Prospective Resources net to its interest to be in the range:
|Net Prospective Resource Magnum||P90||P50||MEAN||P10|
|101 Bcf||349 Bcf||507 Bcf||1.04 Tcf|
The estimated quantities of petroleum that may potentially be recovered by the application of a future development project(s) relate to undiscovered accumulations. These estimates have both an associated risk of discovery and a risk of development. Further exploration appraisal and evaluation is required to determine the existence of a significant quantity of petroleum.