Spudding of the second well in the Shenandoah South Pilot Project, Shenandoah S2-4H
25/11/2024 07:00
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Falcon Oil & Gas Ltd.
(“Falcon” or “Company”)
Spudding of the second well in the Shenandoah South Pilot Project, Shenandoah
S2-4H
25 November 2024 – Falcon Oil & Gas Ltd. (TSXV: FO, AIM: FOG) is pleased to
announce the spudding of the Shenandoah S2-4H (“SS4H”) horizontal well
(previously referred to as the SS3H well) in exploration permit 98 in the
Beetaloo Sub-basin, Northern Territory, Australia with Falcon Oil & Gas
Australia Limited’s (“Falcon Australia”) joint venture partner, Tamboran
(B2) Pty Limited (“Tamboran B2”).
SS4H is the second well of the Shenandoah South Pilot Project and will be
drilled from the same well pad as the Shenandoah S2-2H ST1 sidetrack well
(“SS2H ST1”) using the H&P super-spec FlexRig® Flex 3 Rig.
The SS4H well is estimated to be drilled to a total measured depth of 20,669
feet (6,300 metres) including a horizontal section of approximately 10,000
feet, (3,000 metres), targeting the Amungee Member B-shale.
Following the drilling of the SS4H well, Liberty Energy will complete the
stimulation of the SS2H ST1 and SS4H wells, with 34 and 60 stages planned at
the respective wells. Stimulation of both wells is expected to commence in Q1
2025 with 30 day initial production flow rates expected in the same period.
Falcon Australia will continue its participation in the Shenandoah South Pilot
Project at its elected participating interest of 5%.
Philip O’Quigley, CEO of Falcon commented:
“The spudding of the SS4H horizontal well is an exciting next step in the
development of the Beetaloo Sub-basin and we will look forward to updating the
market as operations progress.”
Ends.
CONTACT DETAILS:
Falcon Oil & Gas Ltd. +353 1 676 8702
Philip O’Quigley, CEO +353 87 814 7042
Anne Flynn, CFO +353 1 676 9162
Cavendish Capital Markets Limited (NOMAD & Broker)
Neil McDonald / Adam Rae +44 131 220 9771
This announcement has been reviewed by Dr. Gábor Bada, Falcon Oil & Gas
Ltd’s Technical Advisor. Dr. Bada obtained his geology degree at the
Eötvös L. University in Budapest, Hungary and his PhD at the Vrije
Universiteit Amsterdam, the Netherlands. He is a member of AAPG.
About Falcon Oil & Gas Ltd.
Falcon Oil & Gas Ltd is an international oil & gas company engaged in the
exploration and development of unconventional oil and gas assets, with the
current portfolio focused in Australia. Falcon Oil & Gas Ltd is incorporated
in British Columbia, Canada and headquartered in Dublin, Ireland.
Falcon Oil & Gas Australia Limited is a c. 98% subsidiary of Falcon Oil & Gas
Ltd.
For further information on Falcon Oil & Gas Ltd. Please visit
www.falconoilandgas.com
About Beetaloo Joint Venture (EP 76, 98 and 117)
Company Interest
Falcon Oil & Gas Australia Limited (Falcon Australia) 22.5%
Tamboran (B2) Pty Limited 77.5%
Total 100.0%
Shenandoah South Pilot Project -2 Drilling Space Units – 46,080 acres(1)
Company Interest
Falcon Oil & Gas Australia Limited (Falcon Australia) 5.0%
Tamboran (B2) Pty Limited 95.0%
Total 100.0%
(1)Subject to the completion of the SS2H ST1 and SS4H wells on the Shenandoah
South pad 2.
About Tamboran (B2) Pty Limited
Tamboran (B1) Pty Limited (“Tamboran B1”) is the 100% holder of Tamboran
(B2) Pty Limited, with Tamboran B1 being a 50:50 joint venture between
Tamboran Resources Limited and Daly Waters Energy, LP.
Tamboran Resources Limited, is a natural gas company listed on the ASX (TBN)
and U.S. OTC markets (TBNNY). Tamboran is focused on playing a constructive
role in the global energy transition towards a lower carbon future, by
developing the significant low CO(2) gas resource within the Beetaloo Basin
through cutting-edge drilling and completion design technology as well as
management’s experience in successfully commercialising unconventional shale
in North America.
Bryan Sheffield of Daly Waters Energy, LP is a highly successful investor and
has made significant returns in the US unconventional energy sector in the
past. He was Founder of Parsley Energy Inc. (“PE”), an independent
unconventional oil and gas producer in the Permian Basin, Texas and previously
served as its Chairman and CEO. PE was acquired for over US$7 billion by
Pioneer Natural Resources Company.
Advisory regarding forward-looking statements
Certain information in this press release may constitute forward-looking
information. Any statements that are contained in this news release that are
not statements of historical fact may be deemed to be forward-looking
information. Forward-looking information typically contains statements with
words such as “may”, “will”, “should”, “expect”, “intend”,
“plan”, “anticipate”, “believe”, “estimate”, “projects”,
“dependent”, “consider” “potential”, “scheduled”,
“forecast”, “outlook”, “budget”, “hope”, “suggest”,
“support” “planned”, “approximately”, “potential” or the
negative of those terms or similar words suggesting future outcomes. In
particular, forward-looking information in this press release includes, but is
not limited to, information relating to the drilling the SS4H well to a total
measured depth of 6,300 metres and the planned 10,000 foot (3,000 metre)
horizontal section, the stimulation program following the drilling of the SS4H
well, targeting the Amungee Member B-shale; the wells being stimulated with
wells with a planned 34 and 60 stages t the respective wells utilising the
Liberty Energy modern frac fleet, stimulation of both wells is expected to
commence in Q1 2025 with 30 day initial production flow rates expected in the
same period.
This information is based on current expectations that are subject to
significant risks and uncertainties that are difficult to predict. The risks,
assumptions and other factors that could influence actual results include
risks associated with fluctuations in market prices for shale gas; risks
related to the exploration, development and production of shale gas reserves;
general economic, market and business conditions; substantial capital
requirements; uncertainties inherent in estimating quantities of reserves and
resources; extent of, and cost of compliance with, government laws and
regulations and the effect of changes in such laws and regulations; the need
to obtain regulatory approvals before development commences; environmental
risks and hazards and the cost of compliance with environmental regulations;
aboriginal claims; inherent risks and hazards with operations such as
mechanical or pipe failure, cratering and other dangerous conditions;
potential cost overruns, drilling wells is speculative, often involving
significant costs that may be more than estimated and may not result in any
discoveries; variations in foreign exchange rates; competition for capital,
equipment, new leases, pipeline capacity and skilled personnel; the failure of
the holder of licenses, leases and permits to meet requirements of such;
changes in royalty regimes; failure to accurately estimate abandonment and
reclamation costs; inaccurate estimates and assumptions by management and
their joint venture partners; effectiveness of internal controls; the
potential lack of available drilling equipment; failure to obtain or keep key
personnel; title deficiencies; geo-political risks; and risk of litigation.
Readers are cautioned that the foregoing list of important factors is not
exhaustive and that these factors and risks are difficult to predict. Actual
results might differ materially from results suggested in any forward-looking
statements. Falcon assumes no obligation to update the forward-looking
statements, or to update the reasons why actual results could differ from
those reflected in the forward-looking statements unless and until required by
securities laws applicable to Falcon. Additional information identifying risks
and uncertainties is contained in Falcon’s filings with the Canadian
securities regulators, which filings are available at www.sedarplus.com,
including under "Risk Factors" in the Annual Information Form.
Any references in this news release to initial production rates are useful in
confirming the presence of hydrocarbons; however, such rates are not
determinative of the rates at which such wells will continue production and
decline thereafter and are not necessarily indicative of long-term performance
or ultimate recovery. While encouraging, readers are cautioned not to place
reliance on such rates in calculating the aggregate production for Falcon.
Such rates are based on field estimates and may be based on limited data
available at this time.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release