Ivanhoe Energy Inc. says it has made a second natural gas discovery in less than a month at its subsidiary Sunwing in southwest China.
The Calgary-based company said the Zitong-1 well has initial flow rates 750,000 cubic feet per day.
"The results so far at Zitong-1 have exceeded our expectations," said Ivanhoe president and CEO David Dyck in a release.
"This second discovery confirms a significant play for us in this block and, when combined with our previous discovery at Yixin-2, represents a major catalyst for adding shareholder value."
In December, the company announced that it had made a "significant" natural gas discovery at the Yixin-2 well, part of the Sunwing subsidiary. That discovery had initial flow rates of up to 13 million cubic feet per day recorded.
Ivanhoe Energy Inc. is an independent, international heavy oil development and production company. It has operations in Canada, Ecuador, China and Mongolia.