Ohai results prompt production testing

L&M Energy is starting immediate production testing of its Ohai coal seam gas pilot project in New Zealand, following better than expected drilling results from the first lateral well at the Southland lease.

Wellington-headquartered L&M said today the first of two scheduled lateral test wells, OM-7, had successfully intersected the vertical production well OM-5 at Ohai in exploration lease PEP 38220.

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