Buru Energy Ltd (ASX:BRU, OTC:BRNGF) has revised the appraisal and testing schedule for its wholly owned Rafael Gas Project in Western Australia’s Canning Basin. The new sequencing prioritises drilling and testing the Rafael B well before re-entering Rafael 1, with activity now expected to start in the June quarter of 2026. The update is designed to improve reserve outcomes and reduce project risk, while maintaining the targeted timeline for first gas production by late 2027.
The shift in the program is based on recent technical assessments, which indicate the Rafael B well will offer superior data for a production flow test and reserve certification.
This modification defers the Final Investment Decision (FID) to early third quarter of 2026 but does not affect the broader development schedule for the Rafael Liquified Natural Gas (LNG) Project.
“The Rafael technical assurance process has delivered valuable information to underpin decision making on the risks and opportunities of our planned Rafael appraisal and production flow test program,” Buru CEO, Thomas Nador said.
“Drilling and testing the Rafael B appraisal well next is the optimum pathway to proving up the resource and underpinning a robust Final Investment Decision, whilst maintaining our first cashflow target of late 2027.”
Rafael Gas Project schedule.
Flow test results underpin regional potential
The Rafael discovery, made in late 2021, is the first confirmed conventional gas and condensate find in onshore northern Western Australia. A 2022 flow test from Rafael 1 confirmed flow rates exceeding seven million cubic feet per day of high-quality gas with high condensate content and low inert gas levels. However, the test was limited to a small section of the hydrocarbon column and may not have captured the full reservoir’s capacity.
To better understand the field and support development planning, a 3D seismic survey was acquired in 2023 and interpreted in 2024. Initial development plans had called for the recompletion of Rafael 1 and an extended flow test, followed by drilling Rafael B.
Appraisal strategy refined for optimal outcomes
In 2025, Buru and its technical partners undertook detailed planning for Rafael 1’s recompletion and production test. These studies revealed potential borehole integrity issues near the test zone that could hinder flow outcomes. As a result, Buru opted to shift the sequence, prioritising the drilling of Rafael B to obtain higher-quality flow data and improve reserve certification.
The revised plan aims to maximise resource definition and support a robust Final Investment Decision for the project.
While the revised testing program defers the FID by six months to early third quarter 2026, Buru confirms that first production and material cashflow are still expected by late 2027. This aligns with the previously announced plan to develop the Rafael LNG Project in partnership with Clean Energy Fuels Australia (CEFA), announced on April 2, 2025.
Commercial and regulatory activities progressing
Buru is advancing development in line with the Western Australian Government’s 2028 energy transition plans for the Kimberley region.
Concurrently, the company is pursuing asset-level and corporate funding opportunities, with a dataroom now open for prospective upstream partners. Regulatory, traditional owner and marketing agreements are also in progress to support final project approvals.