Falcon Oil & Gas and joint venture partner Tamboran Resources Corp. provided updates on stimulation activities on Beetaloo Basin wells and plans to create a development acreage encompassing up to 4.52 million acres.

Falcon said Jan. 24 that the JV is planning to create an enlarged development area, known as the First Strategic Development Area (FDSA), around its pilot area in exploration permit 98 (EP 98).

Falcon participated in the Shenandoah South 2HS (2-2H ST1) and the S2-4H wells in 2024 at 5% participating interest (PI), which created two DSUs totaling 46,080 acres. Falcon participated in the Shenandoah S-1H well in 2023 at 22.5% PI, which created a DSU of 20,480 acres.

RELATED

Falcon, Tamboran Spud Second Well in Australia’s Beetaloo

Depending on the ultimate size of the planned FSDA Falcon’s combined participation entitlement in the FSDA post the Pilot could be up to 10%. Falcon also retains a 22.5% PI in the remaining 4.52 million acres in the Beetaloo, net 1 million acres to Falcon.

Falcon said that for the next drilling phase of the pilot, which involves the drilling and stimulation of four remaining four wells, Falcon has elected to reduce its PI from 5% to 0% to reduce its 2025 capex.

Falcon CEO Philip O’Quigley said reducing the company’s participation in the next four wells has a minimal impact on its overall interest in the Beetaloo, which remains at 22.5%.

“This demonstrates the optionality afforded by the DSUs, which enable Falcon to strategically and efficiently deploy its capital,” he said. “This reduction in our participation in the next four wells significantly reduces our 2025 capital expenditure whilst at the same time leaving us very well positioned to capture the overall success of the Beetaloo.”

Separately, Tamboran said Jan. 23 that it had commenced stimulation activities on the SS-2H ST1 and 3H (SS-3H) wells in EP 98. The company is planning to pump up to 119 stimulation stages across the two wells with reduced spacing between stages.

The SS-2H ST1 well is planned to include 43 stages over a 5,427-ft (1,654-m) horizontal section.  The SS-3H well is planned to include 76 stages over a 9,766-ft (2,977-m) horizontal section.

Liberty Energy is conducting the stimulation campaign using the first 80,000 hp hydraulic frac spread imported into the Beetaloo Basin from the U.S., Tamboran said in a press release.

“We are excited to commence the stimulation program for the SS-2H ST1 and SS-3H wells in the Beetaloo Basin with Liberty Energy's modern stimulation equipment,” said Joel Riddle, Tamboran managing director and CEO. “The increased horsepower of this equipment is expected to deliver a step change in stimulation efficiency and proppant intensity compared to previous wells completed in the Basin.”

Comments