SS-1H achieves commercial IP30 flow rate of 3.2 MMcf/d (normalized to 6.4 MMcf/d over 1,000 metres), exceeding pre-drill expectation

Highlights

• The Shenandoah South 1H (SS-1H) well in EP 117 achieved an average 30-day initial production (IP30) flow rate of 3.2 million cubic feet per day (MMcf/d) over the 1,644-foot, 10 stage stimulated length within the Mid Velkerri B Shale, normalized to 6.4 MMcf/d over 3,281-feet (1,000 metres).

• Results from the SS-1H well exceeded our pre-drill expectation, which provides the Company with confidence to progress drilling activities during 2024, subject to funding and key stakeholder approvals.

• Exit rate trajectory showed a steady, low-declining curve at 2.9 MMcf/d over the stimulated length (normalized at 5.8 MMcf/d per 3,281 feet) with a flowing wellhead pressure of 575 psi.

• Geological rock properties at SS-1H compare favourably with those in the average Marcellus Shale dry gas window, including reservoir pressure, effective porosity and gas-in-place.

• The Company believes the SS-1H IP30 result elevates the Beetaloo West region as one of the most favorable places to anchor an initial development and commences the de-risking of more than 1 million acres below 8,850 feet (true vertical depth).

• Tamboran will progress development plans for the proposed 40 MMcf/d Pilot Project in the Shenandoah South location. The project is expected to require six upfront 10,000-foot development wells to achieve plateau production. Drilling is planned to commence in Q2 2024.

• At the end of January 2024, Tamboran held ~A$55 million in cash to support ongoing activities, which the Company expects to use to fund its 38.75% working interest in the proposed Pilot Project, subject to final Joint Venture approvals. 

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Source: Tamboran Resources Corporation