TMK Energy boosts Mongolian gas output ahead of new drilling program

TMK Energy reported a four per cent monthly increase in gas production at its Gurvantes XXXV coal seam gas pilot project in Mongolia, with flow rates spiking above 50,000 standard cubic feet per day ahead of a new drilling program. Average daily production for August reached 810 cubic metres per day, up from July's 778 cubic metres. The company signed a contract with Major Drilling for a new well and re-completion work on three existing wells, including bringing the out-of-service LF-03 back online. The project aligns with Mongolia's strategy to develop domestic coal-bed methane for power generation, addressing grid constraints from ageing coal plants and costly imports. TMK is fast-tracking a gas-to-power project with partner Dashvaanjil Group, targeting implementation later this year.