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The adds+ in the last 6 trading days far out number the sells -. Puts a smile on my face.
Well now I post here. If you read me here you are in for monster profits with FOLGF. I am only where money can be made. MARK MY WORD!
Took me an hour to read all the posts on the European board. Very active board, good posters. Huge news today showing potential. Waiting to see if it backs up a couple pennies to add.
T
Still have some hope here, hopefully patience pays off..
https://www.northqueenslandregister.com.au/story/7092645/nt-government-handed-beetaloo-basin-gas-discovery-report/?cs=4770
Similar article posted on Yahoo. Falcon mentioned at the bottom as one of the players in the area.
https://www.google.com/amp/s/au.finance.yahoo.com/amphtml/news/tamboran-resources-limited-positive-results-025000790.html
https://www.katherinetimes.com.au/story/6980103/energy-companies-say-gas-testing-in-beetaloo-is-better-than-expected/
Energy companies continue to be excited over the initial results from the testing of gas exploration wells in the Beetaloo.
In a report to investors today, Santos said production testing at the Tanumbirini-1 vertical well east of Daly Waters resumed last month and results "significantly exceeded expectations".
The production test recorded an initial peak gas flow rate of 10 mmscf/d (million cubic feet per day) and an average rate of 1.5 mmscf/d during the first nine days of testing.
"The results at Tanumbirini-1 provide critical data to inform the next phase of appraisal, which is expected to include two horizontal wells with multi-stage stimulation commencing in 2021," the company said.
"The recent test results provide further confidence there is potential to achieve economic flow rates from multi-stage horizontal wells."
Origin Energy is expected to soon release details of its production tests after it resumed activity at its Kyalla well site near Daly Waters in the Beetaloo after a six month stand down.
The Kyalla well, drilled almost two kilometres deep late last year, has been fracked for the production testing.
Initial results from this are expected by the end of the year, with full results in the first quarter of 2021.
Origin has reported they found a 900 metre gas-rich layer of shale during the vertical drilling.
Junior explorer Empire Energy told the stock exchange earlier in the month it had discovered what is believes it is a big reservoir of liquids rich gas at its Carpentaria-1 well site about 85km south-west of Borroloola.
The gas was found shallower than expected and across a layer of shale almost a kilometre thick.
The explorers like Empire, Origin and Santos are looking for gas in two shale layers, the more prospective Kyalla and the Velkerri which Empire has intersected.
Empire said it would now prepare the well for fracking tests and a flow testing program early next year.
Australia's Energy Minister Angus Taylor visited the Beetaloo to inspect the Empire Energy well last week to build on the Federal Government's gas-fired recovery plan.
The government has made the Beetaloo a priority for development.
Meanwhile, Santos says it has successfully injected approximately 100 tonnes of carbon dioxide deep underground into depleted gas reservoirs as part of the final field trial for the Moomba Carbon Capture and Storage Project in South Australia.
Santos managing director and chief executive officer Kevin Gallagher said the successful injection occurred earlier this month in the Strzelecki field in the Cooper Basin and Santos would now finalise technical and commercial arrangements with the aim of having the 1.7 million tonne per annum project ready for Final Investment Decision by the end of the year.
Ultimately, the Moomba CCS Project has the potential to store up to 20 million tonnes of carbon dioxide per annum, the company says.
"We will need an approved methodology for CCS to be in place with the Clean Energy Regulator before we take a final investment decision on our Moomba CCS Project because carbon credits are essential to make it stack up economically with the cost of abatement still at around A$30 per tonne," Mr Gallagher said.
"Our aim is to drive these costs lower with scale and experience, but the first step is to generate carbon credits to enable initial development.
"Last year, Moomba celebrated its 50th birthday as a provider of reliable, affordable energy to the eastern seaboard. We are growing production in the Cooper Basin again, and that, combined with the Moomba CCS Project, has the potential to make Moomba a vital supplier of clean energy for Australia for another 50 years, supporting thousands of skilled, secure, well-paying jobs and decarbonising energy at its source.
"The initial project would support around 230 new South Australian jobs through construction.
"Our Moomba CCS Project is one of the most globally competitive projects - it will be the second largest in the world and one of the lowest cost project at our current estimate of around A$30 per tonne."
Mr Gallagher said this successful test along with recent Federal government announcements paves the way for large-scale CCS to drive down Australia's carbon emissions. Experts, including the International Energy Agency (IEA) and the Intergovernmental Panel on Climate Change have identified CCS as a critical technology to achieve the world's climate goals.
21 October 2020 - Falcon Oil & Gas Ltd. (TSXV: FO, AIM: FOG) (“Falcon”) has been informed that the Bankruptcy Estate of Petrohunter Energy Corporation is the beneficial owner of 48,101,000 common shares of Falcon (“Shares”), representing 4.90% of Falcon’s issued and outstanding Shares. Sweetpea Petroleum Pty Ltd. is no longer a beneficial owner of Falcon Shares.
Saw this today on Falcons homepage and could be the reason for the recent increase. It has been trading much, much cleaner lately.
https://falconoilandgas.com/2020/10/21/holdings-in-company-3/
I’ve been in this for many years- hopefully it is turning back around for good this time. This was up 7% in London today.
Yes, Empire had great results that the posters on the European board I read occasionally think translates to us. Moving in right direction in spite of overhang. If results are released soon the overhang will be a thing looked back as the last chance at cheap stock. However, like you, I have been fooled by this company before. Have a good position and will wait impatiently for results.
T
Some positive news over the weekend in the Beetalo relating to another company. It could/should bode well for Falcon but I've been plenty wrong before about this stock.
It has been trading much cleaner lately as well so we'll see.
From what I hear the gov is doing a lot of infrastructure building from Beetaloo to Darwin. Exporting to Asia will be huge since the price is much higher there than in NA. Problem has been drilling disruption from covid and rainy season delays. But, potential is huge. Still expecting a buyout above a dollar if drill results come in as expected. Big deal for Australia. They need it to work for future gas needs. Hang in there. I've been adding in this range. And, trust me, I've been in it for over a decade. Back when that crook Bruner was giving himself shares at every turn. But, the upside is life changing.
T
I am not holding any as I first started following Falcon when it was I think around .16 per share. Wanted to wait to get a better price, and from what I have read so far they are sitting on something huge. The problem is its literally in the middle of nowhere with no infrastructure.
Apparently the Australia government might be helping with some pipeline. Here is the best up to date information I have found. Its a message board.
https://www.lse.co.uk/ShareChat.asp?ShareTicker=FOG&page=1
Yes, unfortunately. Couldn't have played this one more wrong. Hoping to break even.
Have you heard anything new? Haven't been following too closely as of late.
News- Fracking and flow results seem to finally be right around the corner. This one has been a patience tester so hopefully it will be worth the wait. Should see some volume today..
20 February 2020 - Falcon Oil & Gas Ltd. (TSXV: FO, AIM: FOG) is pleased to announce that drilling operations, including casing and cementing, on the Kyalla 117 N2-1H ST2 well have been successfully completed.
The well has been drilled to a total measured depth of 3,809 metres, including a 1,579 metre lateral section (from 90 degrees) in the Lower Kyalla Formation. Preparatory work, including the drilling of water impact monitoring bores - a new requirement of the Code of Practice for onshore petroleum activities in the NT - will commence in the coming month ahead of the next stage of operations.
The JV will continue its in-depth shale evaluation program of all the technical data gathered from the conventional cores, sidewall cores, DFITs and extensive wireline logging, to build an understanding of the prospectivity of the Kyalla Formation.
Philip O’Quigley, CEO of Falcon commented:
“We are delighted to have successfully completed the Kyalla horizontal well section and we now look forward to the next phase of operations with the fracture stimulation of Kyalla 117 N2-1H ST2. We will continue to update the market as results become available.”
https://www.globenewswire.com/news-release/2020/02/20/1987554/0/en/Falcon-Oil-Gas-Ltd-Successful-Drilling-of-Kyalla-117-N2-1H-ST2-Horizontal-Well.html
Test/drilling results are finally starting to show up. This is NOT Falcons property but is close and a good read for share holders. Will keep my eyes open for more news coming out of the NT.
https://m.marketscreener.com/EMPE-ENER19-59467409/news/Empire-Energy-Northern-Territory-EP187-Seismic-Results-29877282/
Very nice, looking forward to some positive test results leaking out soon. Fingers crossed.
Falcon Oil & Gas Ltd. - Spudding of Kyalla 117 N2-1 Well
2:00 AM ET 10/9/19 | GlobeNewswire
Falcon Oil & Gas Ltd. - Spudding of Kyalla 117 N2-1 Well
Falcon Oil & Gas Ltd.
("Falcon")
Spudding of Kyalla 117 N2-1 Well
9 October 2019 - Falcon Oil & Gas Ltd. (TSXV: FO, AIM: FOG) is pleased to announce the spudding of the Kyalla 117 N2-1 appraisal well in the Beetaloo Sub-Basin, Australia.
Highlights:
-- Kyalla 117 N2-1 is the first well in the Stage 2 drilling programme to
target the Kyalla shale liquids rich gas play.
-- Located within Exploration Permit 117 approx. 32 kilometres north of the
Beetaloo W-1 well.
-- A vertical pilot hole will target a total vertical depth of approximately
1,750 metres into the Kyalla Formation.
-- A subsequent horizontal section is planned for approximately 1,000 metres
that will be drilled, completed, stimulated and production tested in the
prospective Kyalla shale reservoir interval.
-- Origin Energy B2 Pty Ltd ("Origin"), as Operator, will drill the Kyalla
117 N2-1 well.
-- Origin hold a participating interest of 70% and Falcon Oil & Gas
Australia Limited hold the other 30% participating interest over the
Beetaloo Exploration Permits, 76, 98 and 117.
The principal objectives for the drilling of the Kyalla 117 N2-1 well are to:
-- Penetrate the Kyalla Formation to assess hydrocarbon maturity, saturation
and reservoir quality.
-- Provide further information on the areal distribution of the Kyalla
Formation.
-- Collect data for subsequent horizontal drilling, completion, stimulation
and production testing; including ability to flow liquids rich gas.
Formation evaluation, including reservoir characterisation, will be carried out through petrophysical interpretation, geo-mechanical studies and core analysis.
Philip O'Quigley, CEO of Falcon commented:
"The spudding of the Kyalla 117 N2-1 appraisal well is an exciting development for Falcon and marks the re-commencement of the drilling programme with our JV partner. We look forward to updating the market as soon as results become 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 &
The oil price is warming up a little. We are seeing it with big board plays in energy. The timing of this along with it being September for FOLGF...been waiting to get to this well being drilled in the fall. If it hits and is as big of a reservoir as they say the lotto play payed off.
I originally got in around .75 and sold above a buck. Didn't like Bruner and his self serving ways. Too many free shares. Got back in in low .30's for a small amount and watched Hungary not pan out. Bought a large amount under a dime as Beetleloo started to look good. Been waiting ever since. Did sell off some in mid .30's to buy back at .25. Got some back but am still waiting to buy more. Waiting to see that drilling goes as planned and looking for some tax loss selling. Rainy season may cause enough problems to get me some shares at .15, which is where I will be waiting. Never hear about South Africa anymore, so must have gone the way of Hungary.
T
A decade? What price was it then?
I hope they sell. I have been in this for a decade or more and want to see some reward for my patience. If it is some kind of royalty deal, I would probably be okay there too. Just want something positive to happen to stock price. Should happen soon.
T
Definitely. This is the month where it begins. Now that the environmental permit has been approved they are ready. The drilling pad is basically done. I have a feeling they are sitting on something rather big. You are right on the $2-5 share price down the road.
Somehow I see Falcon selling eventually to a larger org.
I think there is a really good chance of them finding something. I love how deep they are going. It is what beyond geologists not long ago said could contain hydrocarbons.
If results are anywhere the expectations this is a $2-$5 stock down the road. The value of their acres goes way up after proving up the gas/oil. Exciting time to be involved here, imo.
T
I need to build a lil position. Been watching this for a while and in the coming months if the news is good this should do well for us.
Outstanding. Love the news and especially love the size coming in on the bid side.
T
The Kyalla drilling is now scheduled to start in September and I'm hoping some results will get leaked before January.
Just watched a huge 150k buy on the ask to open today, and now a bid for 500k at .17.
Things appear to be heating up...
Don't the results come in January? Can't remember but we should get an idea from the stock price. News always leaks.
T
Finally something interesting. A little bit of volume too
I hear ya, I doubled down this morning. September is right around the corner and it feels like the payoff might finally be here.
I beg the powers that be to let the drilling go unabated and be successful. This has been a loooonnngggg ride for me.
T
Finally...
Can't wait to see some test results.
Falcon Oil & Gas Ltd. - Kyalla 117 N2 Horizontal Appraisal Well EMP Approved
GlobeNewswireAugust 22, 2019, 2:00 AM EDT
FALCON OIL & GAS LTD.
(“Falcon”)
Kyalla 117 N2 Horizontal Appraisal Well EMP Approved
22 August 2019 - Falcon Oil & Gas Ltd. (TSXV: FO, AIM: FOG, Euronext Growth: FAC) is pleased to announce that the Environmental Management Plan (“EMP”) for the Kyalla 117 N2 horizontal appraisal well, for the planned 2019 drilling, stimulation, and well testing prepared by Origin Energy B2 Pty Ltd. (“Origin”) on behalf of the JV, has been approved by the Northern Territory Department of Environment and Natural Resources.
Kyalla 117 N2 Horizontal Appraisal Well
The well is targeting the Kyalla shale liquids rich gas fairway
Construction of the well pad and related civil works is nearing completion
Drilling operations will commence in September
Philip O’Quigley, CEO of Falcon, commented:
“Today’s announcement relating to the approval of the Kyalla 117 N2 Well EMP targeting the Kyalla shale liquids rich gas fairway is an exciting development for Falcon shareholders. We look forward to the commencement of drilling operations.”
For further information, please contact:
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
Davy (NOMAD, Euronext Growth Advisor & Joint Broker)
John Frain / Barry Murphy
+353 1 679 6363
RBC (Joint Broker)
Matthew Coakes / Martin Copeland
+44 20 7653 4000
Cenkos Securities plc (Joint Broker)
Neil McDonald / Derrick Lee
+44 131 220 9771
From what I saw from that message board is a lack of enthusiasm that the drilling will be done this year.
Seems as though drilling is still up in the air according to posters on EU message board. Should get one well drilled, I would think.
T
Interesting volume before noon. Not a whole lot but decent
Falcon Oil & Gas June 2019 Corporate Presentation:
https://falconoilandgas.com/company-presentations/#1541158622782-52acf8a2-2f7f
"Ferrari of Shale". In a remote corner of the outback, a drilling crew will soon try tapping shale rocks that could hold more than three times the world's annual consumption of natural gas.
Origin Energy plans to drill two wells later this year in the Northern Territory's Beetaloo Basin, after the local government ended a three-year ban on fracking -- the controversial practice of extracting oil and gas from layers of shale rock deep underground.
With an estimated 500 trillion cubic feet of gas, Beetaloo has been compared to famed US shale regions such as Marcellus and Barnett.
But its isolated location six hours' drive south of Darwin, lack of infrastructure, and the likelihood of tough environmental opposition make Beetaloo a highly speculative investment.
"There are some big numbers being quoted and people have to realise this is exploration," said Mark Schubert, Origin's head of integrated gas, noting that only some of the total reserves would be extractable.
Origin's permit area is the size of Wales, but engineers on site are more likely to encounter crocodiles than sheep in the scrubby, billabong-dotted bushland.
Beetaloo is about 2,500 kilometres away from Sydney and even further from Melbourne, so the project would require pipelines that would connect to and expand the capacity of the nation's growing gas transmission network.
In 2016, before the exploration ban, Origin drilled a so-called dry gas well -- one that contains only natural gas -- that allowed it to estimate a recoverable resource of 6.6 trillion cubic feet, enough to support a gas export supply train for 20 years, according to Schubert.
Looking for liquids
The next round of drilling will focus on areas where the gas reserves could also include liquid petroleum gas and condensate -- a kind of ultra-light crude oil -- valuable byproducts that would improve the commercial viability of the project.
Data suggest the Beetaloo formation has similar characteristics to Marcellus in the eastern US, which Schubert calls "the Ferrari of shale." The new wells will test whether it shares the same "deliverability" as Marcellus.
Santos, based in Adelaide, also plans to drill for shale gas in the nearby McArthur Basin later this year and has submitted its environmental management plan to the territory's government.
Origin, and its joint venture partner Falcon Oil & Gas, have a long way to go before they will bring Beetaloo gas to market, probably around the middle of next decade.
That may be just in time to head off a domestic shortage of the fuel on the east coast, which has traditionally relied on the now-declining Bass Strait offshore field next to Victoria.
Beetaloo could also feed the growing gas export business. Australia is vying with Qatar as the world's top liquefied natural gas seller and the construction of three export terminals in Queensland in the past decade means domestic users now compete with fast-growing Asian demand.
https://www.smh.com.au/business/companies/the-next-ferrari-of-shale-may-be-hiding-in-the-nt-outback-20190502-p51ja7.html
They are saying drilling in July. They had issues with the environmentalists who hate clean natural gas.
I just started looking at this play the other day. Its going to either be huge with a falcon buyout, or its going to be a big bust. There is plenty of potential though.
these brits have done a lot of DD:
http://www.lse.co.uk/ShareChat.asp?ShareTicker=FOG&page=1
Wow! Havent seen any activity here for a long time. Anything going on with this stock. Its been well over a yr since the moratorium ended. Drilling anytime soon?
I figured something was up. The long debacle continues. But, the message board is top notch as to news and discussion.
T
Check this out:
These guys really stay on top of the latest. This basin in the NT in AU has incredible potential.
http://www.lse.co.uk/ShareChat.asp?ShareTicker=FOG&page=1
CCM, hoping drilling begins SOON. This company has had a knack for disappointing. Been in for a decade, so have been thru Bruner, Hungary, and South Africa hype. They have something this time, I hope, but the delay is making me nervous. Australia needs this project but greens are slowing everything down. I do not want to hear "next year". I read the European Falcon board and they are getting nervous too. Time for news, imo to help long time shareholders sleep well. Thanks for info. Been in long? Thoughts on drilling in June?
T
“Working on a hunch that the true extent of the Beetaloo had yet to be defined, Santos commissioned a survey of the basement topography and discovered an even thicker sediment pile had been overlooked to the east of … what had previously been regarded as the core of the Beetaloo.”
The Velkerri B shale, which hosts the rocks behind Origin Energy’s 2C contingent resource of 6.6 Tcf (gross), is 1.4 billion years old.
“The shallower Kyalla formation, which is liquids rich and will be the target of Origin’s upcoming wells, is about 1.2 billion years old.
“Both formations are almost a billion years older than most of the world’s hydrocarbon-producing rocks.
“The exploration text books say the Beetaloo is too old to be worth exploring. Time works against preservation of hydrocarbon systems. And the further one goes back in the geological record, the less life existed on earth, which means less organic matter to create source rocks.
“Against the odds, the Velkerri rocks [in Beetaloo] not only contain organic-rich mudstones (ranging from about 4% to 8% total organic content), but the rocks have sat there largely undisturbed for more than a billion years and appear to be gas saturated.
“The mudstones were deposited in a marine environment a long way out from the coastline.
“The science on how the organic matter came to be there is still being debated, but it is thought that organic matter, derived from no more than bacteria and blue-green algae, grew in sunlit, shallow waters of an ancient ocean before dying and piling up on the ocean floor.
“The depositional environment also created some other key positives for today’s shale gas and liquid explorers.
“The Velkerri and, to a lesser extent the younger Kyalla formation are remarkably consistent across a vast area.
“The shales are also rich in microcrystalline quartz, which makes the Velkerri shales highly susceptible to fracture stimulation.
“In this respect, the Beetaloo is analogous to the Marcellus shale, which is among the most productive, low-cost shales of North America,” says the rewiew.
“The corporate stories behind exploration in the Beetaloo are almost as interesting as the geology.
“In the background, Santos geologists had worked out that the Beetaloo offered perhaps the best unconventional [fracking] opportunity in Australia.
“The company was keen to find a way in, but cash was tight as the business poured billions into Gladstone LNG.
“Working on a hunch that the true extent of the Beetaloo had yet to be defined, Santos commissioned a survey of the basement topography and discovered an even thicker sediment pile had been overlooked to the east of … what had previously been regarded as the core of the Beetaloo.”
Prob wont be good news until August after drilling
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Falcon Oil & Gas Ltd. is a global energy company that is focused on acquiring, exploring and developing large acreage positions of unconventional and conventional oil and gas resources. We focus on areas in politically and economically stable countries that are characterized by a high regional demand for energy with existing infrastructure allowing rapid delivery of oil and gas to market. Falcon has interests in approximately 12.3 million gross acres in three major exploration projects in Australia, South Africa and Hungary. | ||
Our offices are in Dublin, Ireland and Budapest, Hungary. Shares of our company trade in Toronto on the TSX Venture Exchange (TSXV) under the ticker symbol 'FO', in London on the London Stock Exchange (AIM) under the ticker symbol 'FOG' and in Dublin on the Irish Stock Exchange (ESM) under the ticker symbol 'FAC' . |
Falcon Oil & Gas Ltd (LON:FOG) this week revealed it is sitting on a potentially massive discovery in Australia’s Northern Territory.
On Wednesday, citing figures produced by Origin Energy, its partner in and operator of 16,000-square kilometres of licences, the gross best estimate of gas in place is put at a world-class 496 trillion cubic feet (TCF).
Converting that to oil equivalent, it stacks up to 82bn barrels of the black stuff.
This breakthrough has seen the Falcon share price rise some 95%.
Here, we feature questions and answers that provide valuable insights to the project, and what investors can expect in the coming months.
Q: Wednesday’s press release was in two parts, can you tell us more about that?
A: The first part of our press release talks about the Discovery Report that was submitted to the Northern Territory Government, which was a requirement following the declaration of a discovery in October 2016.
The second part talks about the contingent resource numbers that Origin announced.
Q: Who prepared the Discovery Report?
A: The Discovery Report was prepared by the operator, Origin Energy Resources Limited on behalf of the Beetaloo Joint Venture.
Q: Why was the Discovery Report prepared and to whom was it submitted?
A: The Report was prepared in accordance with the requirements of Section 64 of the Northern Territory Petroleum Act (2016) and submitted to the NT Department of Primary Industry and Resources (DPIR).
It follows the Declaration of a Discovery submitted to the DPIR on the 7th October 2016.
Q: What are the key findings in the Discovery Report?
A: The most significant part of the Report is the estimated Original Gas in Place (OGIP).
Origin calculated a gross best estimate for OGIP of 496 TCF over an area of over 16,000 km2.
Q What work has Origin based the OGIP estimate on?
A: The JV drilled three vertical wells and one horizontal well over the past couple of years.
In addition, we carried out a hydraulic fracture stimulation on the horizontal well and then completed a 57day extended production test.
All the data from this drilling and production and testing program together with the previously acquired 1,000’s of km’s of seismic was used in determining the OGIP number.
Q: So this basically covers everything Falcon owns in the Beetaloo
A: Not at all. This OGIP number is based solely on the B shale within the middle Velkerri formation.
That is the shale formation that we carried out the extended production test on last year.
However, within the Middle Velkerri we have also identified an “A” and “C” shale.
And then there is the real potential of the Kyalla shale which has yet to be tested.
Q: Just how big is the project? 16,000 square kilometres sounds like a very large area.
A: It is equivalent to almost 4 million acres. Wales measures around 5m acres. Leinster is about 4.9m acres – so it’s a pretty big area alright.
Q: And just how big a project would 496 trillion cubic feet really be?
A: While the OGIP is a big number and has a BOE equivalent of 82 billion barrels of oil, we should look at what we think is technically recoverable.
Origin has taken a conservative view and has taken into account subsurface and surface utilisation factors to come up with a best estimate recovery factor of 16%.
Q: So that is still a pretty big number, in terms of a technically recoverable resource?
A: Yes, it certainly is. It works out to be around 85 TCF.
Q: It seems that Origin has gone further than the OGIP in the Discovery Report and has indicated a contingent gas resource
A: Yes, Origin’s own press release indicates 6.6 trillion cubic feet of gross contingent gas resources, around an area of just 1,968 square kilometres.
This is a very exciting development to be able to advance some of our resource categorisation to a contingent resource.
Q: The 6.6 TCF is just around 1,968 square kilometres - how was this area calculated?
A: This is just the area surrounding and adjacent to the Amungee NW-1H well – the well that we flow tested late last year for 57 days.
Q: Is it possible to extrapolate that number over the entire permit area of 16,000 square kilometre area?
A: It’s a bit too early to do that and we need a lot more wells drilled and extended production tests.
But based on the very encouraging results we got from the Beetaloo W-1 well 85km south of the Amungee well it is exciting.
Q: How does the Beetaloo compare to other shale plays, particularly in the US?
A: In Origin’s opinion and as set out in their own press release as one of the basis for determining a discovery the Marcellus and Barnett Shales in the USA are analogous, commercially productive fields that are similar to the Middle Velkerri B Shale reservoir.
Q: Remind us of the ownership structure, how much of the project does Falcon own?
A: Falcon farmed out 70% of this project to Origin and Sasol back in 2014 in exchange for them carrying Falcon through approximately $200m of capex.
Falcon still own 30% through our 98.1% Australian subsidiary.
Q: There’s currently a moratorium on hydraulic fracturing in the Northern Territory - what is the latest news on this?
A: The moratorium on hydraulic fracturing was introduced by the NT Government on 14 September 2016. Since then an independent Panel has been established to conduct an independent inquiry and report back to the Government.
They plan on publishing an “Issues Paper” before the end of February and then publish an interim report by the mid 2017 with a final report by the end of the year.
Q: Do you think that this discovery will influence the outcome of the moratorium?
A: The Independent panel has to look at all the issues such as the potential impact on the environment but also the potential economic impact.
This Discovery Report together with Origin’s contingent resource estimate will hopefully provide insight into the potential positive impact this unconventional resource may have on the economy of the NT and on Australia.
Q: What are the future plans for the joint venture? Will there be more drilling in 2017?
A: Pending the outcome of the moratorium currently in place, Origin has requested a suspension of all drilling operations with the DPIR and await their formal response to the request.
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