What Falcon Oil & Gas does:
Beetaloo - Falcon Oil & Gas Ltd’s (LON:FOG) (CVE:FO) (OTCMKTS:FOLG) Australia arm holds a 30% interest in 4.6mln gross acres in exploration permits EP76, EP98 and EP117 covering the most prospective core area of the Beetaloo Sub-basin.
The Beetaloo Sub-basin is located in the Northern Territory, 600 kilometres south of Darwin and close to infrastructure including a highway, a pipeline and a railway.
Karoo Basin - Karoo covers an area of 7.5mln acres. Falcon submitted its application to the Petroleum Agency of South Africa in 2010.
Mako Trough - Falcon has been active in the Makó Trough since 2004 when it acquired the Makó and Tisza exploration licences
How is it doing:
Operationally, the focus is on the upcoming work programmes in the Beetaloo basin, in Australia’s Northern Territory.
The exploration and appraisal programme will include the drilling and hydraulic fracture stimulation of two horizontal wells.
In October, the Kyalla 117 N2-1 was spudded - It is the first well in the ‘Stage 2’ drill programme at Beetaloo.
The well is located some 32 kilometres from the prior Beetaloo W-1 well and it is targeting the shale liquids-rich gas play.
First, a vertical pilot well is being drilled down to around 1,750 metres into the Kyalla formation.
A horizontal section of around 1,000 metres will then be drilled. The horizontal well will be completed and will undergo a production test.
The Beetaloo shale project, 30% owned by Falcon, is estimated to host some 85 trillion cubic feet of technically recoverable gas resources.
In South Africa, Falcon expects the exploration right over the acreage in the Karoo Basin will be awarded this year
This licence is about 173 million acres and contains thick, organic-rich shales such as the Permian Whitehill formation.
Falcon is continuing to review its operations in Hungary, which includes the Makó Trough.
- Drilling starts at Beetaloo
- Results from two wells on the licence
- Exploration licences granted for Karoo Basin acreage
- Newsflow starts in June and carries through until November
- Stage 3 will involve testing prospect that can be commercialised the quickest
What the boss says:
Falcon Oil & Gas CEO Philip O'Quigley has commented: “The spudding of the Kyalla 117 N2-1 appraisal well is an exciting development for Falcon and marks the re-commencement of the drilling programme with our JV partner.”