Tamboran Resources Corporation (NYSE:TBN, ASX:TBN, OTC:TBNRL, FRA:O8R) earlier this week outlined significant progress across its Beetaloo Basin operations following the successful completion of the bulk of a US$198 million capital raising, aimed at accelerating development and advancing toward production.
Chief executive Todd Abbott said the funding round, which was three and a half times oversubscribed in the US, reflected strong institutional backing and growing investor focus on global energy security. He indicated that the raise not only supports the broader Beetaloo strategy but also reinforces Tamboran Resources’ position as a technical leader in the basin, particularly as it moves to complete the Falcon acquisition and expand its working interest.
Abbott emphasised that the company is nearing a key inflection point, with initial gas production expected as early as the third quarter of 2025, supplying the Northern Territory. Full-scale development remains targeted toward 2026. He noted that the transition to production would be critical, stating that it would shift the basin “from being talked about as potential” to delivering tangible cash flow and operational data.
A major technical milestone was achieved with the Shenandoah South 6H well, which delivered a record IP20 flow rate of approximately 8.8 million cubic feet per day. Abbott said the result met expectations, adding that “there were really no surprises on the well,” with stable performance observed over the test period. The early shut-in of the well after 20 days reflected confidence in the dataset while also reducing costs and emissions.
Tamboran Resources has also taken steps to optimise its capital structure through a farm-down agreement with Daly Waters Energy. Abbott explained that the deal reduces forward capital commitments while securing carry funding, allowing the company to maintain exposure to key assets while managing risk. He added that such agreements help “reprice the basin” and validate its economic potential at this stage of development.
Looking ahead, Tamboran Resources is focused on executing its drilling programme, completing wells, and progressing key transactions, including the Falcon acquisition. Abbott highlighted that the company is well funded through to 2027–2028, providing flexibility to pursue development opportunities and navigate potential market uncertainties.
With multiple operational catalysts on the horizon and increasing investor support, Tamboran Resources is positioning itself to play a significant role in supplying gas to both domestic and regional markets, underpinned by the strategic importance of energy security.
Key highlights
- Tamboran Resources secured US$198 million in funding, with strong institutional demand
- Capital raise was 3.5x oversubscribed in the US offering
- Funding supports accelerated development of the Beetaloo Basin
- First gas production expected Q3 2026, with earlier initial production in 2025
- Gas to be supplied to the Northern Territory for power generation
- Shenandoah South 6H well achieved a record IP20 flow rate (~8.8 MMcf/d)
- Early shut-in confirmed sufficient data and reduced costs/emissions
- Farm-down agreement with Daly Waters Energy reduces capital burden
- Strategic focus on energy security and domestic supply in Australia
- Falcon acquisition progressing, increasing basin exposure
- Multiple near-term catalysts: drilling, production, and project execution
- Company approaching a key operational and financial inflection point
Proactive: And away we go. All right. Tamboran Resources has hit several milestones over the past month, including locking in $198 million to accelerate development plans in the Beetaloo Basin. Here to discuss those plans is chief executive Todd Abbott. Todd, good to see you.
Todd Abbott: Good to see you, Jonathan.
Proactive: Let’s start with the $198 million raise. What does this support signal about confidence in the Beetaloo strategy?
Todd Abbott: I think you’re asking the question exactly right. It is support and endorsement of the Beetaloo strategy. It reflects two things. First, recognition of the importance of energy security in the current world. Investors are very focused on that. Second, it endorses Tamboran Resources specifically as a technical leader in the basin. With the Falcon acquisition, the company will have a sizable working interest across the basin. We had strong support—our US offering was three and a half times oversubscribed.
Proactive: How do you see energy security in Australia and what needs to be done?
Todd Abbott: The ability to control your own energy needs is critical. Energy producers must ensure domestic supply, while consumers seek diversification across sources and routes. For Australia, with significant resources, it’s about meeting domestic gas demand and supporting allied markets. Australia is a premium energy source.
Proactive: Let’s talk about gas. The funds raised are accelerating the pathway to first gas in 2026. Talk us through that.
Todd Abbott: We expect gas production later this year in the third quarter, supplying into the Northern Territory. That’s important for production and cash flow, but also for long-term well data. Being well funded gives us flexibility, whether in joint ventures or our non-operated interests like EP 161 with Santos. It allows us to prioritise development projects that generate returns.
Proactive: The Shenandoah South 6H well delivered a record IP20 flow rate. How significant is that?
Todd Abbott: It reinforced expectations. We were pleased to see it. There were no surprises—the well held flat at about 8.8 million a day. We actually shut it in early at 20 days because we had the data we needed. It was a strong outcome and well received by investors.
Proactive: Another milestone was the farm-down deal with Daly Waters Energy. What’s the rationale?
Todd Abbott: It reduces forward capital exposure and provides carry funding. It mirrors economic terms seen in other deals and helps reprice the basin while giving us flexibility. It was a strong outcome for the company.
Proactive: What can investors expect over the next few months?
Todd Abbott: We’ll progress the Falcon transaction, complete and bring wells into production, and continue drilling. This positions the company to focus on operations. We believe we’re at an inflection point, with strong financial flexibility and multiple catalysts ahead.
Proactive: Thanks for your time.
Todd Abbott: Thank you.