Elixir Energy Ltd (ASX:EXR, OTC:ELXPF) managing director Neil Young sits down with Proactive’s Jonathan Jackson to talk about the launch of a six-stage stimulation program at its fully owned Grandis project near the Wallumbilla gas hub in Queensland. Halliburton has initiated this multi-stage stimulation at the Daydream-2 well, employing 16,000 hydraulic horsepower of equipment. This development follows a positive flow test from the Lorelle Sandstone at a depth of 4,200 metres, which demonstrated the ability to flow gas without prior stimulation.
The stimulation program targets a diverse range of geological features, including two coal zones, three tight gas zones, and the Lorelle Sandstone. Once stimulation is complete, flow testing will commence to evaluate the production capabilities of each zone individually and the overall output from the well.
These upcoming flow tests are crucial as they will provide data necessary for an updated resource assessment, which Elixir Energy plans to conduct after the tests. Young expressed optimism about the progression of the Daydream-2 work program, emphasising the importance of the Halliburton equipment and the potential insights from the soon-to-follow flow testing.