Beetaloo Energy’s Carpentaria-5H Shows Low Decline Rates, Gas Plant on Track for Q4 Sales

Carpentaria-5H Well Delivers Sustained Gas Flow with Low Decline

Beetaloo Energy’s Carpentaria-5H horizontal shale gas well is defying typical shale production patterns by maintaining a remarkably low rate of decline after flow testing began on 11 June 2026. The well initially produced over 14 terajoules (TJ) per day, settling to an average of 7 TJ/day and currently flowing at approximately 6.7 TJ/day after 19 days of testing. This contrasts with US shale wells that typically start high and decline rapidly.

Water production is falling steadily; from around 1,300 barrels per day down to 500; while the gas-to-water ratio has climbed to about 11,000 standard cubic feet per barrel, signalling an increasingly gas-dominated flow. The well is accessing more reservoir volume as cleanup continues, supporting Beetaloo’s previously disclosed recoverable gas estimate of around 10 petajoules (2C), with potential upside pending longer-term data.

Carpentaria Gas Plant Construction Progresses Smoothly

Construction of the Carpentaria Gas Plant is proceeding on schedule, incident-free, and within budget. The facility is critical for processing gas from the Carpentaria Pilot Project wells, including Carpentaria-5H, with commissioning and first gas sales anticipated in the fourth quarter of 2026. This aligns with the company’s broader development timeline and reflects a professional approach by Beetaloo and contractor Wasco.

Seismic Survey Targets Multi-Decade Resource in Western Beetaloo

Beetaloo has commenced a 233-line kilometre 2D seismic survey across exploration permits EP167 and EP168 in the Western Beetaloo region. This survey aims to infill existing seismic data and better delineate reservoir characteristics in an area where the Velkerri B Shale is thicker, supporting future horizontal drilling plans. The survey, expected to finish acquisition by end of July with interpretation in Q3 2026, targets a resource exceeding 20 trillion cubic feet (TCF), positioning the area for multi-decade LNG-scale development.

Strategic Frac Sand Supply Secured with Territory Sands

Beetaloo Energy has formalised a loan agreement to fund Territory Sands’ construction of a frac sand mine near Larrimah in the Northern Territory. The $10.4 million funding deal grants Beetaloo priority access to cost-effective sand for hydraulic fracturing, which is expected to improve stimulation economics for current and future wells. The initial tranche will cover equipment deposits for sand screening tailored to Beetaloo’s specifications, potentially reducing one of the key cost components in shale gas development.

Financial Position Supports Aggressive Development

With $63.2 million cash on hand and $42.5 million in undrawn facilities under the Macquarie Midstream Infrastructure Facility, from which an initial $2.5 million drawdown has been made, Beetaloo Energy is well-funded to execute its 2026 exploration and development activities. This financial strength underpins ongoing operations including flow testing, gas plant construction, seismic acquisition, and infrastructure investments.