Tamboran Resources Ltd (ASX:TBN) is looking to unlock the full potential of the Beetaloo Sub-basin in the Northern Territory.
The company has secured Ensign Rig 970 to spud the Maverick 1H (M1H) well in the 100%-owned and operated permit EP 136, subject to final environmental approvals.
Drilling to start next quarter
M1H well will be drilled during the third quarter of 2022 with an optimised well design over a planned 1,000-metre horizontal section targeted to include up to 20 fracture-stimulated stages.
The final well design for the well has benefited from additional data provided by the Tanumbirini 2H (T2H) and 3H (T3H) flow rest results, which increase the company’s confidence in achieving potentially commercial flow rates.
2D seismic acquisition
The 2D seismic acquisition program planned for EP 136 was reduced from 250 kilometres to around 90 kilometres following consultation with key stakeholders to minimise land disturbance.
It is expected to start during the current quarter, subject to receiving relevant consents.
The Northern Territory Civil and Administrative Tribunal (NTCAT) has provided a final determination regarding the terms of the Land Access and Compensation Agreement (LACA) for Tanumbirini Station covering EP 136.
This determination allows Tamboran to begin calendar year 2022 activities at Tanumbirini Station on EP 136.
Spudding will be “major milestone”
Tamboran Resources managing director and CEO Joel Riddle said: “Tamboran has secured the Ensign Rig 970 to drill the M1H well that is anticipated to spud during the third quarter of calendar year 2022, subject to EMP approvals.
“Spudding of the well will be a major milestone for the company as we seek to unlock the full potential of the Beetaloo Sub-basin in the Northern Territory. The team is working with full focus on delivering initial production rates by the end of calendar year 2022.
“The design is supported by our proprietary intellectual property, which was built on the Tamboran team’s experience of having drilled more than 5,000 unconventional wells in North America and validated by leading shale independent consultants. This was further validated with the initial flow results of the T2H and T3H wells drilled in EP 161."
“Supporting Australia’s energy security”
“We are excited to commence the pathway towards commercialisation of our vast acreage, which we believe will play a leading role in supporting Australia’s energy security for decades," Riddle continued.
"We expect the Beetaloo Sub-basin to play a major role in alleviating the East Coast gas market shortfall, which revised Australian Energy Market Operator (AEMO) data has indicated could be as early as the winter of 2023.
“The acreage also has the potential to supply gas for LNG exports, given the global shortage following recent geopolitical events.
“We believe that Australians deserve access to affordable gas as the country transitions towards renewable energy sources.
"This can only be delivered by developing our significant local gas resources. Without this, Australian households and businesses on the East Coast could be exposed to the increasing price of global LNG, which has already resulted in materially higher prices in Europe.”