Bass Oil Boosts Output, Seals Key Gas Deal, Eyes 2026 Growth
Bass Oil reported a 2% rise in November oil production alongside a new gas sales agreement with Origin Energy, setting the stage for first gas sales in 2026. Indonesian operations also advanced with production enhancements and upcoming drilling plans.
- November oil production up 2%, totaling 7,480 barrels
- Binding three-year gas sales agreement signed with Origin Energy for Vanessa gas field
- Vanessa acquisition pending regulatory approval, enabling first gas sales in 2026
- Indonesian oil production increased 7% after a three-well enhancement program
- R&D tax rebate received for deep coal gas commercialization efforts
Steady Production Gains Amid Equipment Challenges
Bass Oil Limited reported a modest but meaningful 2.2% increase in average daily oil production for November 2025, reaching 249 barrels per day net to the company. Total monthly production stood at 7,480 barrels, generating sales revenue of A$564,320. While the Cooper Basin operations saw an 8% dip in output due to wear in a key jet pump at the Padulla 3 well, the facilities maintained an impressive 99% uptime, reflecting operational resilience.
Strategic Gas Sales Agreement and Vanessa Acquisition
A pivotal development for Bass Oil is the execution of a binding three-year gas sales agreement with Origin Energy for the Vanessa gas field, which Bass is in the process of acquiring. This deal, pending imminent regulatory approval, positions Bass to commence gas sales into the east coast market by the second half of 2026. The Vanessa acquisition includes critical infrastructure such as a gas processing facility and pipeline connectivity, unlocking opportunities for reserve growth and the commercialisation of deep coal gas resources within the PEL 182 permit.
Advancing Gas Exploration and Commercialisation Studies
Bass continues to make headway in its Triassic gas play study, with recent mapping identifying additional prospects that could enhance the Kiwi gas field’s potential. The company is also progressing a Phase 2 deep coal commercialisation study led by SLB, focusing on fracture stimulation techniques to economically exploit this resource. These efforts align with broader industry activity, including Santos’ pilot programs, which could validate new technologies applicable to Bass’ assets.
Indonesian Operations Gain Momentum
On the international front, Bass’ Indonesian Tangai-Sukananti oil fields saw a 7% production increase in November, averaging 165 barrels per day net to Bass. This improvement follows a successful three-well production enhancement program completed recently. Preparations are underway for the drilling of the Bunian 6 development well, with materials on site and tenders being evaluated, signaling continued commitment to expanding production capacity in the region.
Financial and Corporate Highlights
Financially, Bass Oil remains debt free and has benefited from a 43.5% cash rebate on qualifying research and development expenditures related to its gas commercialisation initiatives in FY24. This rebate provides additional capital flexibility as the company advances its strategic projects.
Bottom Line?
With gas sales agreements signed and production enhancements underway, Bass Oil is poised for a transformative 2026, though regulatory and operational milestones remain key to watch.
Questions in the middle?
- When will regulatory approval for the Vanessa gas field acquisition be finalized?
- What is the timeline and expected impact of the Bunian 6 well drilling in Indonesia?
- How will the results of the Triassic gas play and deep coal commercialisation studies influence Bass Oil’s production strategy?
