Falcon Oil & Gas Ltd. Secures Key Gas Agreement for Growth
Exciting Developments for Falcon Oil & Gas Ltd.
Falcon Oil & Gas Ltd. (TSXV: FO) is experiencing noteworthy advancements in its operations following the recent approval granted by the Northern Territory Government for the Beneficial Use of Gas agreement. This agreement represents a significant milestone for Falcon and its joint venture partner, Tamboran (B2) Pty Limited, in their quest to harness appraisal gas from the Shenandoah South Pilot Project.
Understanding the Beneficial Use of Gas Agreement
This new approval allows the BJV partners to sell appraisal gas from specific exploration projects in the Beetaloo sub-basin, an area of immense potential. As the first approval under the amended Beneficial Use of Gas legislation, it marks a critical step for the regulatory framework governing the energy sector in the Northern Territory.
Key Points of the Agreement
The agreement facilitates the sale of appraisal gas under specific terms, allowing the BJV partners to sell up to 60 terajoules (TJ) per day for a three-year duration. This development comes as part of strategic efforts to bolster energy security for the region.
Energy Security and Economic Impact
With an initial contract for the sale of 40 million cubic feet per day (MMcf/d) of gas, the partners aim to provide substantial energy security to the Northern Territory until mid-2041. This strategic positioning is expected to enhance local economic conditions and establish Falcon Oil & Gas as a leader in responsible energy solutions.
Future Construction Plans
The approval also paves the way for the construction of the A$140 million Sturt Plateau Compression Facility (SPCF), a vital infrastructure project that Falcon will not financially burden as it progresses. The impending gas sales via the SPCF are anticipated to commence around mid-2026, contingent upon weather conditions and final approvals from relevant stakeholders.
Innovations in Drilling Techniques
Falcon Oil & Gas is also advancing its 2025 drilling campaign with significant achievements. The intermediate sections of three key wells are successfully drilled, utilizing innovative batch drilling techniques for enhanced efficiency. Notably, the S2-5H well is currently undergoing horizontal drilling, showcasing Falcon's commitment to advancing technology in the field.
Collaboration and Efficiency
CEO Philip O'Quigley expressed enthusiasm regarding the increased activity in the Beetaloo region, highlighting both the drilling campaign and the construction of the pipeline as major achievements for Falcon. With a proactive partnership approach, the team at Falcon Oil & Gas is well-positioned to navigate the evolving energy landscape.
About Falcon Oil & Gas Ltd.
Falcon Oil & Gas Ltd. is an internationally recognized company engaged in the exploration and innovative development of unconventional oil and gas resources. Incorporated in British Columbia, Canada, and currently operating out of Dublin, Ireland, Falcon focuses on harnessing energy assets primarily in Australia.
Contact Information
For further details about Falcon Oil & Gas Ltd., please contact:
Falcon Oil & Gas Ltd.
Phone: +353 1 676 8702
Philip O'Quigley, CEO
Phone: +353 87 814 7042
Anne Flynn, CFO
Phone: +353 1 676 9162
Frequently Asked Questions
What is the Beneficial Use of Gas agreement?
The Beneficial Use of Gas agreement allows Falcon Oil & Gas and its partners to sell appraisal gas for energy security and economic growth.
How much gas can Falcon sell under this agreement?
Falcon can sell up to 60 TJ per day over a specified three-year period.
What are the plans for the Sturt Plateau Compression Facility?
The A$140 million facility aims to enable effective gas processing and sales to the Northern Territory Government.
How does the drilling campaign enhance Falcon's operations?
The drilling campaign employs innovative techniques and aims for increased efficiency, positioning Falcon as a leader in their field.
Where is Falcon Oil & Gas headquartered?
Falcon Oil & Gas Ltd. is headquartered in Dublin, Ireland, while incorporated in British Columbia, Canada.
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