Comet Ridge (COI) is progressing a work program at Mahalo North, which is part of its flagship Mahalo Gas Hub in Queensland.

Drilling and production testing operations are targeting the high-quality fairway in the southern part of ATP 2048 which is about 3.7 kilometres north of the Mahalo Pilot Scheme.

Over the last two weeks, Comet has focused on preparing for production testing at Mahalo North. Positively for the company, weather conditions improved, which enabled a workover rig to be mobilised to the site on December 18. This enabled certain equipment to be installed in the Mahalo North 1 vertical well which was completed earlier this week.

Additionally, the company installed two fully lined 1.4-megalitre water storage tanks, which means dewatering operations are ready to start.

Comet also bought an even larger water storage tank in anticipation of higher water and gas rates during the production testing phase. The tank is expected to be installed early in the June quarter of 2022.

In early January next year, the company will install the final surface production equipment and production testing operations will be underway right after.

Company shares ended Wednesday’s session 12.9 per cent in the green to trade at 10.5 cents.