OREANDA-NEWS. June 07, 2013. Leyshon Resources has confirmed commercial flow rates from a well on the eastern fringe of the prolific Ordos gas basin in central China.

The company's wholly-owned subsidiary, Pacific Asia Petroleum, said target zones from the ZJS5 well in its Zijinshan gas project achieved a free gas flow rate of 160,000 scf/day over eight hours of stable flow at a tubing head pressure of 200 psi. The initial flow rate recorded on the single zone exceeds management's internal estimate for commercial production of 125,000 scf/day.

Analysis of the results to date suggests that further flow may be possible from untested potential pay zones. Details of the plans for the testing of these additional zones will be released in due course. The well has been 'shut in' for a period of two weeks during which pressure tests will be undertaken.

Managing director Paul Atherley said: "We are delighted to report that one of the two first wells drilled has recorded commercial flow from a single pay zone with further production possible from additional zones. Well ZJS5 is located in the heart of the target area and this positive result is a very encouraging early step in de-risking the project."