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Botala advances Serowe gas project toward commercial production

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Botala Energy Ltd. has moved closer to commercial natural gas production in Botswana after its Pitse Pilot Well 3.5B at the Serowe coal bed methane (CBM) project entered production testing following the completion of hydraulic stimulation.

The Botswana Stock Exchange-listed company said the operation, which creates pathways in underground coal seams to improve gas flow, marks the final technical stage before assessing whether the well can sustain commercial production.

The milestone advances Botala’s plans to supply domestically produced natural gas for power generation, industrial users and, eventually, liquefied natural gas (LNG) markets in Southern Africa.

Following stimulation, engineers depressurised the well and recovered about 30% of the injected treatment fluid. The remaining fluid stayed within the coal seam, which the company said should help maintain gas flow. No proppant sand returned to the surface, indicating it remains in place to keep fractures open.

Botala has begun dewatering the reservoir by pumping water from the coal seam to lower pressure and allow methane to flow into the well. Coal bed methane wells typically produce little gas initially, with output increasing as water levels decline.

Chief Executive Officer Kris Martinick said the project has now transitioned from development to production assessment.

“This marks the point where years of exploration, reservoir evaluation and engineering begin to translate into measurable production performance,” he said.

Botala has begun dewatering the reservoir by pumping water from the coal seam to lower pressure and allow methane to flow into the well. Coal bed methane wells typically produce little gas initially, with output increasing as water levels decline.

Martinick said the reservoir’s initial response was encouraging.

“Water began moving back into the well once pressure was reduced, demonstrating that the well is connected to the surrounding coal reservoir,” he said.

The company’s immediate priority is to establish a stable gas production rate. Botala is targeting sustained output above 70 gigajoules a day, its threshold for commercial development.

Upcoming milestones include first gas production, extended production testing, updated reserve estimates and completion of the next phase of the project’s feasibility study.

If successful, the Serowe CBM project could reduce Botswana’s reliance on imported energy by supplying locally produced natural gas for power generation and industrial use.

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