Tamboran Resources Corporation (NYSE: TBN; ASX: TBN) is pleased to present its First Quarter Activities Report and the First Quarter Results Presentation.
Highlights
- Tamboran completed the drilling of the Shenandoah South 2H (SS-2H) well in EP 98 to total depth (TD) of 20,669 feet (6,300 metres) in 35 days (spud to TD). The well was the first ~10,000 foot (3,000 metre) horizontal section drilled within the Mid Velkerri B Shale in the Beetaloo Basin to date.
- On completion of the drilling operations, a downhole mechanical issue was unable to be resolved, resulting in the well being plugged and sidetracked. The SS-2H ST1 sidetrack well has reached a depth of 16,201 feet (4,938 metres), achieving record drilling rates in the Beetaloo Basin following successful implementation of key learnings from the drilling of the original SS-2H well.
- Drilling of the Shenandoah South 3H (SS-3H) well is expected to commence in November 2024 from the same pad. The SS-3H well is projected to be drilled with a 10,000-foot (~3,000-metre) horizontal section.
- Both the SS-2H ST1 and SS-3H wells are planned to be stimulated with up to 60 stages using the recently imported Liberty Energy (NYSE: LBRT) frac fleet, which was successfully mobilized to site during the quarter. The stimulation campaign is planned to commence in 1Q 2025.
- IP30 flow tests remain on track to be announced to the market in 1Q 2025, subject to timing of soaking period and weather conditions.
- In November 2024, Tamboran contracted Enscope, an Australian engineering consultancy company, to order long lead items required for the Sturt Plateau Compression Facility (SPCF).
- Tamboran and APA Group (ASX: APA) are on track to finalize agreements relating to the Sturt Plateau Pipeline (SPP) ahead of the ordering of long lead items in November 2024.
- As at 30 September 2024, the Company had a cash balance of US$74.0 million, which excludes the US$7.6 million net payment (gross proceeds less commission) from the sale of Tamboran’s drilling rig in the US, which was received in October 2024
Tamboran Resources Corporation Managing Director and CEO, Joel Riddle said:
“The first quarter of FY25 was another busy period for Tamboran as we commenced our 2024 Beetaloo drilling operations. The SS-2H well spudded in late August 2024 following additional civils works required to stabilize the cellar at the well site. The well was successfully drilled to 20,669 feet (6,300 metres) total measured depth in 35 days, the second fastest drilling rate achieved in the Beetaloo Basin, behind the A3H well drilled by Tamboran in 2023.
“Despite delivering the longest horizontal well in the Beetaloo Basin to date, a downhole issue occurred upon the completion of drilling and before the installation of casing. Unfortunately, we were unable to remediate the issue, resulting in the well being sidetracked as the SS-2H ST1 well.
“The sidetrack was drilled from 1,837 feet (~560 metres) and is currently at a depth of 16,201 feet (4,938 metres) following successful implementation of key learnings from the drilling of the original SS-2H well. The SS-2H ST1 well has achieved the fastest drilling rates from the bottom of the Moroak Sandstone (~7,500 feet below surface) to date.
“We look forward to completing the SS-2H ST1 well and progressing the drilling activity on the SS-3H well. Importantly, we remain on track to deliver IP30 flow rates during 1Q 2025, which is in line with guidance.
“Further, the higher costs associated with drilling the SS-2H sidetrack well (~US$5 million) has been more than offset by the cash received for selling our US drilling rig (~US$8.5 million, pre-costs) meaning we are funded to deliver flow results from the SS-2H ST1 and SS-3H wells.”
Source: Tamboran Resources
To view the full ASX announcement, click here.
To view the 1Q FY25 Result Presentation, click here.
