Strike Energy (ASX:STX) has received a $5.8 million research and development tax rebate as it progresses towards the next stage of production testing at the Southern Cooper Basin Gas Project in South Australia.
The company is already fully funded for its five well production testing program with $9.6 million in cash as at 30 September 2014.
Southern Cooper Basin Gas Project
While it has received indicative approaches from a range of commercial and industrial gas users regarding further gas offtake contracts, the company does not intend to commit to additional gas sales until the project is further de-risked or a larger resource base is delineated.
Planning for the surface infrastructure required to support an initial project development in PEL 96 has commenced.
The feasibility of early construction and operation of a small scale gas processing facility designed to process, compress and deliver sales gas produced from the multi-well testing program into the Moomba to Adelaide Pipeline is being advanced.
Discussions with engineering and infrastructure suppliers are progressing with significant interest in supporting the development of an independent gas processing facility in the Southern Cooper Basin.
Initial production testing had confirmed the target coal formations are highly productive.
Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.