CBM Determinations & Coal Characterization

CDX Gas has complete capabilities to perform the full range of coalbed methane (CBM) gas assessments. This includes several Desorption trailers used as mobile laboratories that can be deployed to drilling locations for on-site collection and analysis of coal core and gas samples. The mobile labs are comprehensively equipped for desorption analysis and can transmit data back to CDX offices over a secure link. CDX Gas in-house CBM lab facilities are located in the Dallas, Texas and Charleston, West Virginia offices.

The entire process from preparation prior to coring the coals, sample collection at the wellsite using very specific quality controlled protocols and procedures, to mobilizing the coals back to the lab with continued desorption until the samples are finished desorbing, then performing analyses for coal characterization, and finally the interpretive report, has been extensively documented and perfected by the geoscience staff of CDX Gas. As a result, high quality reliable data is generated and is used by our geologists to assess the resource potential of CBM in a potential or already established project area, and also utilized by our reservoir engineers to calculate reserves. Accurately measured CBM content of coals is a cornerstone of CDX Gas reserve calculations and economic decisions.

During the entire desorption process, data is entered into spreadsheets in the field and preliminary calculations of total gas contents are available in real time. A mounted Satellite dish atop the CDX Desorption Trailer allows for secured wellsite phone/fax capabilities and two-way data transmissions using a secured broadband Internet connection. Digital photographs of 1-foot sections of the cored seams can be transmitted electronically to the corporate office in Dallas, and any other CDX field location for further review and evaluation. The desorption data set is electronically sent to senior CBM scientists for more accurate calculation assessments and quality control checks of the predicted total gas content with STP corrections and lost gas extrapolations. The goal of the CDX Gas field desorption personnel in the field is to provide accurate, real-time data to our project geologists and production engineers.

The desorption crew generally de-mobilizes from the drill site after coring and geophysical logging are complete. They will transport the desorbing coals in canisters to a CDX Gas lab facility where the samples can continue to desorb for up to several months or more.

Once the canisters with the coal samples are mobilized to the CDX lab facility and stabilized in the reservoir temperature bath, the desorption readings continue as the sample dictates. Gas sampling for compositional analysis and heat content (Btu) are commonly taken and are very important in assessing whether the coalgas meets local pipeline specifications.

The desorption process at the CDX lab continues on the coals until the readings approach an insignificant amount of measured gas. At this point the samples are generally crushed to determine the residual gas content. The total gas content for coal is the combination of lost gas, measured gas, and the residual gas.

Once the coals are completed desorbed, they are further analyzed for proximate analysis (moisture, ash, volatile matter, fixed carbon, sulfur, and heating value). This data is needed for the actual total gas content determination on an ash-free basis. Other analyses that may be warranted include adsorption isotherms (determination of coal saturations at different pressures), vitrinite reflectance (determination of maturity/rank of the coal), and Hardgrove Grindability Index - HGI (measure of the ease to grind the coal/ friability).

The compilation of the coal descriptions, total gas content, compositional analysis, proximate analysis, adsorption isotherm, vitrinite reflectance, and HGI will allow for the characterization of the target coals and provide valuable information for future exploration and the marketability of the coal gases to be produced by CDX Gas.

In summary, coal desorption and coal characterization data are used to determine the gas content and coal quality in-situ for a prospective area for CDX Gas CBM exploration. The gas content is essential in determining the economic feasibility of an area based on gas-in-place (GIP) and recoverable gas-in-place (RGIP).