Elixir Energy has begun mobilisation for a three-week 2D seismic campaign across its highly prospective acreage in Queensland’s Taroom Trough, aiming to advance gas resource appraisal and meet farm-in commitments with Santos.
- Mobilisation underway for 200km 2D seismic survey in ATP2057
- Campaign targets western Taroom Trough, aligned with strong Lorelle-3 well results
- Seismic data expected to support future gas and condensate resource certification
- Campaign fulfills work obligations under Santos farm-in agreement
- Taroom Trough acreage strategically located near major gas infrastructure
Seismic Campaign Kicks Off
Elixir Energy Limited (ASX: EXR) and seismic contractor Terrex have commenced mobilisation of equipment and personnel for the Teelba 2D Seismic Campaign, set to begin within the next week. The operation will cover approximately 200 kilometres of new 2D seismic lines across ATP2057, located in Queensland’s Taroom Trough. The campaign is expected to take around three weeks to complete.
Targeting High-Quality Gas Prospects
The survey area lies on the western flank of the Taroom Trough, a region known for its thick Permian sand packages and strong gas potential. Notably, the seismic lines will be on trend with the Lorelle-3 pilot well, which delivered outstanding petrophysical results, reinforcing the prospectivity of Elixir’s acreage. This area also aligns with Shell’s key wells, highlighting its geological significance within the Bowen Basin.
Strategic Importance and Partnership Progress
Currently, ATP2057 does not contain a certified Contingent Resource, but the new high-resolution seismic data is expected to enhance subsurface understanding and potentially support independent certification of gas and condensate resources in the future. The campaign also marks a critical milestone in Elixir’s farm-in agreement with Santos Limited, who will operate the permit post-seismic acquisition and hold a 50% working interest. Completion of the seismic work satisfies key permit commitments under this arrangement.
Location Advantages
Elixir’s Taroom Trough acreage benefits from proximity to the Wallumbillia Gas Hub, multiple gas pipelines, and nearby LNG export infrastructure capable of handling 25 million tonnes per annum. This strategic positioning within Queensland’s mature onshore gas industry enhances the commercial potential of any future resource developments.
Looking Ahead
Following seismic acquisition and processing, Elixir will provide further updates on the campaign’s progress and findings. The data gathered will be crucial in refining resource estimates and advancing the company’s goal to appraise its substantial contingent gas resources, estimated at around 2.8 trillion cubic feet.
Bottom Line?
Elixir’s seismic campaign is a pivotal step toward unlocking Taroom Trough’s gas potential and advancing its partnership with Santos.
Questions in the middle?
- What initial insights will the seismic data reveal about the subsurface gas potential?
- How soon might Elixir pursue independent certification of contingent resources based on new data?
- What impact will the seismic results have on Elixir’s valuation and future development plans?