Elixir Energy Ltd (ASX:EXR, OTC:ELXPF) continues to grow the gas potential of its holdings in Queensland’s Taroom Trough with a new Prospective Resource of 712 billion cubic feet (2U) booked in Sub-Block B of ATP 2077.
Sub-Block B is one of three geographically separate sub-blocks in Elixir’s 100%-owned ATP 2077 licence and based on recent internal technical work undertaken, Elixir has booked the 2U resource.
A Contingent Resource booking of 173 billion cubic feet was announced for Sub-Block A, which is immediately proximate to ATP 2044 and contains similar Taroom Trough geology, when the block was awarded.
READ: Elixir Energy awarded ATP 2077, initial contingent gas resource of 173 billion cubic feet booked
Prospective in nature
Sub-Block B also overlies the Taroom Trough, however given the further distance from Project Grandis the resource here is considered prospective in nature - at this stage.
Sub-Block C lies outside the Taroom Trough, is immediately adjacent to existing gas infrastructure and is prospective for shallower conventional oil and/or gas drilling targets.
Initial Contingent Resources
Elixir’s managing director Neil Young said: “The extent of Elixir’s ownership of gas resources of various categories in the Taroom Trough just continues to grow.
"In addition to these new material prospective resources in ATP 2077, in the next month or so we aim to provide the initial Contingent Resources that we expect to derive from the recent flowing of gas from the deep coal zones in Daydream-2.”
In ATP-2077 Sub-Block C, also known as the Diona Block, Elixir is conducting farmout negotiations under which it is seeking an incoming party to fund the cost of an exploration well.
Location map of ATP 2077 showing sub-blocks A, B and C.
Elixir plans to release updated Contingent Resources for ATP 2044 before the end of this year.
About Prospective Resources
Prospective Resources (2U) have been assessed on the basis that they are unconventional in nature. They are estimated quantities of petroleum that may potentially be recovered by the application of a future development project(s) related to undiscovered accumulations.
These estimates have both an associated risk of discovery and a risk of development. Further explorations appraisal and evaluation is required to determine the existence of a significant quantity of potentially moveable hydrocarbons.
These Prospective Resource estimates are for the tight sandstones and deep Permian coals within Block B only. The estimates assume the same Basin Centered Gas (BCG) play is present, and similar reservoir parameters to ATP 2044 have been used. The block is mature for drilling, and exploration drilling may occur in the years to come.
Elixir’s technical team analyzed seismic, drilling, logging and test data to make these estimates. Specific analysis undertaken included seismic interpretation, geological correlations, core analysis, wireline petrophysics, chromatographic gas analysis and production test analysis.