Successful Completion of the Amungee NW-2H Well 25-Stage Stimulation Programme
22/03/2023 07:00
For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230322:nGNE1xwKzq&default-theme=true
Falcon Oil & Gas Ltd.
(“Falcon” or “Company”)
Successful Completion of the Amungee NW-2H Well 25-Stage Stimulation Programme
22 March 2023 – Falcon Oil & Gas Ltd. (TSXV: FO, AIM: FOG) is pleased to
announce the successful completion of a 25-stage stimulation programme at the
Amungee NW-2H (“A2H”) well.
The A2H well was drilled to a total depth (TD) of 3,883 metres, including a
1,275-metre horizontal section within the Amungee Member B Shale (formerly
known as the Middle Velkerri B-shale), in the Beetaloo Sub-Basin, Northern
Territory, Australia with Falcon Oil & Gas Australia Limited’s joint
venture partner, Tamboran (B1) Pty Limited (“Tamboran”) in December 2022
with stimulation commencing in February 2023.
Stimulation Programme Details:
* 25 stages were successfully stimulated across a 1,020-metre horizontal
section within the Amungee Member B Shale, with approximately 2,125 pound per
foot of proppant placed along the completed horizontal section.
* Proppant was placed using 5-½-inch casing and was based on modern US shale
design, the design is anticipated to result in improved flow rates during the
extended production test.
* Stimulation fluid flow back will commence imminently and is estimated to
take several weeks before the well is shut-in for installation of production
tubing.
* 30-day initial production (IP30) flow rates are expected during the second
quarter of 2023.
Philip O’Quigley, Falcon’s CEO, commented:
“We are delighted to announce the completion of stimulation operations at
the A2H well with our joint venture operator, Tamboran Resources Limited. The
programme was successfully executed during the Northern Territory wet season
and we are now entering the very important phase of flow back operations,
which have the potential to confirm production rates to support the joint
venture moving to a multi-well pilot development programme in 2023/2024. We
look forward to updating the market when these flow rates are available.”
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
Cenkos Securities plc (NOMAD & Broker)
Neil McDonald / Derrick Lee +44 131 220 9771
This announcement has been reviewed by Dr. Gábor Bada, Falcon Oil & Gas
Ltd’s Head of Technical Operations. 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, South Africa and Hungary. Falcon Oil &
Gas Ltd is incorporated in British Columbia, Canada and headquartered in
Dublin, Ireland with a technical team based in Budapest, Hungary.
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 Tamboran (B1) Pty Limited
Tamboran (B1) Pty Limited is a 50:50 joint venture between Tamboran Resources
Limited and Daly Waters Energy, LP (Sheffield).
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 that 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 (“Pioneer”), itself a leading
independent oil and gas company and with the PE acquisition became a Permian
pure play company. Pioneer has a current market capitalisation of c. US$60
billion.
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”, “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 completion of the stimulation programme and
progress to date at A2H, the execution of the fracture stimulation of the A2H
well, utilisation of proven US-style shale stimulation designs and techniques,
including the use of 5-½-inch casing expected to result in improved flow
rates, the prospectivity of the Amungee Member/Middle Velkerri play and the
prospect of the exploration programme being brought to commerciality and a
pilot production in 2023/2024. 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.sedar.com, including
under "Risk Factors" in the Annual Information Form.
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