Falcon Oil & Gas Ltd. (TSXV: FO, AIM: FOG) notes the release of Tamboran Resources Corporation 1Q FY25 results and provides an update on operations in exploration permit 98 in the Beetaloo Sub-basin, Northern Territory, Australia with Falcon Oil & Gas Australia Limited’s (“Falcon Australia”) joint venture partner, Tamboran (B2) Pty Limited (“Tamboran B2”).
On 30 August 2024 Falcon announced the 2024 drilling programme with the spudding of the Shenandoah South 2H (“SS2H”) horizontal well in EP98 with the Helmerich & Payne (NYSE: HP) FlexRig® super-spec rig. The SS2H well is located approximately 2.7 miles (4.3 kilometres) north of the previously flow tested Shenandoah South 1H (“SS1H”) well in EP117.
The SS2H well was successfully drilled to a total depth of 20,669 feet (6,300 metres) in 35 days, intersecting the Amungee B Shale as prognosed. This included a 9,843 foot (3,000 metre) horizontal section that was successfully geo-steered within the shale without the need for a pilot hole. Data from the SS2H well has demonstrated geological rock properties consistent with the SS1H location, with strong gas shows across the entire horizontal section and no observed faulting. When preparing to run production casing a downhole mechanical issue was unable to be remediated, which resulted in the SS2H well being plugged and sidetracked.
The SS2H ST1 sidetrack well is currently at a depth of 16,201 feet (4,938 metres), and it is hoped that the drilling of the well will be completed in the coming days.
Following the drilling of the SS2H ST1 sidetrack well, the Helmerich & Payne rig will skid across the same pad in preparation for the drilling of the Shenandoah South 3H (“SS3H”) well, which is planned to be completed with a 10,000 foot (~3,000 metre) horizontal section.
Liberty Energy’s frac fleet was successfully mobilized to the Beetaloo Basin ahead of the 120-stage stimulation campaign (60 stages each) for the SS2H ST1 and SS3H wells. The program will be the largest stimulation campaign in the Beetaloo Basin to date and is projected to deliver an increase to the number of completions per day compared to historic completions in the basin. This is expected to deliver increased completions efficiency, which drives completion cost reduction.
Falcon Australia will participate in both wells in the Shenandoah South Pilot Project at its elected participating interest of 5%.
Philip O’Quigley, CEO of Falcon commented:
“We look forward to updating the market over the coming weeks as we continue with these drilling operations in the Beetaloo ”
