Elixir Energy (ASX:EXR)

Taroom Trough Deep Coals Flowed for First Time

Elixir Energy Limited (“Elixir” or the “Company”) is pleased to provide an update on the Daydream-2 well in its 100% owned Project Grandis in Queensland’s Taroom Trough.


HIGHLIGHTS

  • Gas flowed to surface from top-most stimulated coal zone in Daydream-2
  • This is the first flow from the deep coals in the Taroom Trough
  • Elixir to work with its reserves certifiers for an initial contingent resource booking

The Daydream-2 well has now flowed gas to surface from the upper most stimulated zone in the well – a package of coal seams between 3,786 metres and 3,678 metres deep. The flow was unassisted and through a full well-bore of water.

Flare from coals in stimulation zone 6

This is the first flow of gas from the deep coals in the Taroom Trough and achieving this was one of the key objectives of Daydream-2. This is the deepest coal to have flowed gas to surface in Australia.

Achieving a flow from the coals is the key outcome that Elixir sought from this stage of the program, which has now moved onto its next phase.

In its ASX announcement dated 21 February 2024, Elixir set out its internal estimate of the prospective resources contained in the Permian coals in ATP 2044. The 2U (mid case) prospective resource was 3,603 billion cubic feet.

Flowing gas to surface is a key trigger to commence converting prospective resources into contingent resources. Elixir will now work with its independent resource certifiers to obtain an initial contingent resource certification from the deep coals.

The process of conversion of all of the prospective resources will require more data from new wells which achieve a similar coal flow outcome in the broader Taroom Trough.

The next phase of the Daydream-2 program involves milling out all the plugs that separate the six separate stimulated zones in the Permian section of the well. A flow test will then be conducted from all the zones together.

The timing of any announcements to the market on this flow test will depend on factors such as the period of the flow-back of stimulation fluid, multi-fluid slugging behaviours, etc, and will likely take some weeks.

Recent stimulation operations at Daydream-2

Elixir’s Managing Director, Mr Neil Young, said: “This is a fantastic outcome for Elixir and the overall Taroom Trough. It has long been recognized that the deep coals here contain many trillions of cubic feet of gas in place1 – and now we have demonstrated that some part of that can be flowed to surface. We consider this is just the start of an incredible journey of bringing on the very large new sources of gas that Australia vitally needs.”


Click here for the full ASX Release

This article includes content from Elixir Energy, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.

EXR:AU
The Conversation (0)
Elixir Energy

Elixir Energy

Early-mover in natural gas exploration and appraisal in Australia and Mongolia.

Josef Schachter, oil rigs.

Josef Schachter: Oil/Gas Stock Buy Window — 3 Signals to Watch

Josef Schachter of the Schachter Energy Report shares his outlook for oil and natural gas, including when he thinks the next buying opportunity will be for stocks.He also discusses his upcoming Catch the Energy conference.Use code INN100 for $100 off annual subscription to the Schachter Energy... Keep Reading...
Cespira Signs Agreement to Supply Components for a Customer Truck Trial

Cespira Signs Agreement to Supply Components for a Customer Truck Trial

Westport Fuel Systems Inc. ("Westport") (TSX:WPRT Nasdaq: WPRT), a supplier of alternative fuel systems and components for the global transportation industry, announced today that Cespira, Westport's joint venture with the Volvo Group, has signed an agreement with and received full payment from... Keep Reading...
Silhouette of drilling rigs and oil derricks with Canadian flag in background.

5 Best-performing Canadian Oil and Gas Stocks of 2025

Oil prices weakened in Q3 as global supply outpaced demand and inventories swelled.Brent crude fell 1.7 percent to end the quarter at US$65.90 per barrel, while West Texas Intermediate dropped to US$62.33. Deloitte’s latest energy report attributes the decline to rising stockpiles and OPEC+’s... Keep Reading...
Valeura Energy (TSX:VLE)

Valeura Energy Inc Announces Q3 2025 Operations and Financial Update

Valeura Energy Inc. (TSX:VLE)(OTCQX:VLERF) ("Valeura" or the "Company") is pleased to provide an update on Q3 2025 operations, including the results of a ten-well drilling campaign at its Nong Yao field on block G11/48 (90% operated working interest), offshore Gulf of Thailand.Key HighlightsSafe... Keep Reading...
Oil pumps and stock market graphs merging in a digital overlay.

Oil and Gas Price Update: Q3 2025 in Review

The oil market struggled in Q3 as prices continued to soften under mounting supply pressure. Following moderate gains in H1, prices contracted to end the third quarter lower than their July 1 start positions. Brent crude began the period at US$67.10 per barrel and finished at US$65.90, a 1.7... Keep Reading...
Alvopetro Announces September 2025 Sales Volumes, Quarterly Natural Gas Price Update, Non-Core Disposition and Western Canadian Expansion

Alvopetro Announces September 2025 Sales Volumes, Quarterly Natural Gas Price Update, Non-Core Disposition and Western Canadian Expansion

Alvopetro Energy Ltd. (TSXV: ALV,OTC:ALVOF) (OTCQX: ALVOF) announces September sales volumes of 2,231 boepd (based on field estimates), our updated quarterly natural gas pricing, the disposition of our Bom Lugar and Mãe da Lua marginal oil fields in Brazil an expansion of our inventory of... Keep Reading...

Latest Press Releases

Related News