Story summary
TMK Energy, led by CEO Dougal Ferguson, recently set a new monthly record for gas production at its Gurvantes XXXV coal seam gas (CSG) project in Mongolia. In September, average output climbed to 872 cubic meters per day, or 30,800 standard cubic feet per day (scfd), an eight percent increase from August. The final week of the month saw production spike to over 33,400 scfd, more than three times higher than when they introduced a revised reservoir management plan in August 2025.
This strategy involved slower pumping rates to reduce coal fines and protect equipment, which has proven effective at LF-07 well where no pump blockages were reported for 14 months. TMK Energy expects this approach will guide future development of the field, potentially reducing time to reach commercial gas flows from new wells. The company's confidence in the project's success is bolstered by Mongolia’s desire to develop a coal seam gas industry.
Written for “TMK Gas Flow Records” on 2026-10-06,
grounded in this article and the 0 other(s) covering the same event.
TMK Energy has lifted gas production to a new monthly record at its 100 per cent-owned Gurvantes XXXV coal seam gas (CSG) project in Mongolia, adding momentum as two rigs prepare to return to the South Gobi field.
asserted
rigs → lift → field
September’s average output climbed eight per cent from August to 872 cubic metres a day, equivalent to 30,800 standard cubic feet per day (scfd).
asserted
output → climb → day
The final week averaged 33,400scfd, more than 300 per cent above the level recorded when the company introduced its revised reservoir management plan in August 2025.
asserted
company → average → August
The revised plan used slower, less aggressive pumping to reduce coal fines, protect pumps and wells and steadily lower reservoir pressure.
asserted
plan → revise → pressure
At the LF-07 well, this exact approach produced a stronger gas response, with no pump blockages reported for 14 months while gas production increased and water output remained stable.
asserted
output → produce → months
The company says the technique has lifted production quickly and improved well economics, with lessons applicable to new wells during appraisal and development.
asserted
lessons → say → appraisal
‘With the gas rates increasing yet again our confidence in the eventual commerciality of the project only grows and is reinforced by the desire that Mongolia has for a Coal Seam Gas industry.’TMK Energy chief executive officer Dougal Ferguson
The increase is emerging across multiple wells, not just a single star performer such as LF-07, the pilot’s standout well.
asserted
increase → increase → LF-07
TMK says the response indicates gas is desorbing deeper and farther from the wellbores into the coal reservoir, with output continuing through short power interruptions even when pumps were not running.
asserted
pumps → say → interruptions
Producing methane from CSG is a bit like wringing out a wet sponge because the gas is adsorbed onto the surface of underground coal seams and held in place by water pressure.
asserted
gas → produce → pressure
Companies must pump water from fractures until reservoir pressure drops below a critical point, releasing the gas and allowing it to flow to the surface.
asserted
it → pump → surface
September water production remained relatively stable at 425 barrels a day, alongside only occasional brief power interruptions.
asserted
production → remain → interruptions
The combination of rising gas rates and reliable well behaviour is giving management greater confidence in the reservoir’s commercial potential.
asserted
combination → rise → potential
TMK Energy chief executive officer Dougal Ferguson said: “The results show we now better understand the coals and how to produce them, with gas production increasing and water production remaining relatively stable.
asserted
production → say → them
These learnings will guide the future development of the field, reducing the lead time to reach commercial gas flows from new wells.”
asserted
learnings → guide → wells
The 2026 work program, modified in July to test new drilling and lower-cost re-completions, is moving into the field.
asserted
program → modify → field
A workover rig is being mobilised to re-complete an idle existing production well, while the drilling rig is undergoing repairs at contractor Major Drilling’s yard in Ulaanbaatar before tackling a new production well.
asserted
rig → mobilise → well
The company says the contractor is completing an oil refinery job elsewhere in Mongolia while continuing TMK’s contracted work.
asserted
contractor → say → work
Mobilisation is expected in the coming weeks once repairs are complete and the workover rig has departed.
asserted
rig → expect → weeks
Border delays have held up long-lead equipment, with the remaining items expected on site in mid-October.
asserted
items → hold → October
Together, the rigs will test whether low-cost workovers can lift output from existing wells while optimising the new well’s drilling and completion.
asserted
workovers → test → drilling
Management says the revised scope requires less capital and will guide investment in a full-field development.
asserted
scope → say → development
TMK’s Gurvantes pilot sits less than 20km from China, one of the world’s largest energy markets, and close to mining operations needing industrial power.
asserted
pilot → sit → power
The 8400-square-kilometre project hosts an independently certified 2C contingent resource of 1.2 trillion cubic feet (Tcf) across 60 square kilometres.
asserted
project → host → kilometres
Although the classification covers gas considered potentially recoverable, further work is still required for appraisal and development, alongside 5.3Tcf of best-estimate prospective resource across the wider area.
asserted
work → cover → area
The pilot must prove production can be repeated and monetised.
asserted
production → prove → ?
A proposed 1-megawatt gas-to-power project with Mongolian partner Dashvaanjil Group - feeding off TMK’s gas - could supply the company’s operational power needs and nearby industrial users, with a final investment decision targeted before the end of October, subject to commercial arrangements.
uncertain
project → propose → arrangements
Management says recent meetings with Mongolia’s Mineral Resources and Petroleum Authority and potential gas offtake partners have reinforced the government’s desire to build a CSG industry and strengthen energy security.
asserted
meetings → say → security
In a mining district where dependable power is valuable, the project could give rising gas a practical first market while the larger field takes shape.
uncertain
field → give → shape
With production climbing, the workover and drilling campaigns about to begin and an early commercialisation decision just weeks away, TMK is testing whether its improved reservoir recipe can travel beyond one standout well.
asserted
recipe → climb → well
It appears to be methodically assembling the pieces needed to unlock its giant Mongolian gas prize.
asserted
It → appear → prize
Is your ASX-listed company doing something interesting?
asserted
company → list → something
The Aporia
