Quarterly Activities Report
Sydney, Oct 31, 2022 AEST (ABN Newswire) - Empire Energy Group Ltd (
ASX:EEG) (EEGUF:OTCMKTS) provide the Quarterly Activities Report for the Q3 2022 period.
- Carpentaria-2H achieved a peak flow rate of > 11 mmcf per day, an initial production rate over 30 days of 2.4 mmcf per day (normalized to 2.6 mmcf per day per 1,000m of stimulated horizontal section), and an initial production rate over 51 days of 2.2 million cubic feet per day (normalized to 2.4 mmcf per day per 1,000m of stimulated horizontal section)
- Carpentaria-3H drilling commenced on 13 October 2022 targeting a 2,000 metre horizontal section that is to be hydraulically stimulated and placed on extended production testing. The well has been successfully landed in the Middle Velkerri B shale and is drilling ahead
- Carpentaria-4V drilling is planned to commence immediately following the completion of Carpentaria-3H
- Land Access and Compensation Agreements (LACA) have been executed with a number of pastoralists to allow for planned activity within the Gas Discovery Area (GDA) in EP167 and EP168
- Empire received Beetaloo Cooperative Drilling Program progress payments totaling $0.8 million in cash (ex-GST) during the Quarter
- Empire's US business operations continue to benefit from strong gas prices and reported a positive EBITDA for Q3 2022 of US$1.66 million
- Cash at the end of the Quarter was $32.6 million
Comments from Managing Director Alex Underwood:
"Empire has had another busy and successful Quarter, highlighted by an active Beetaloo field program with highly encouraging results from our Carpentaria-2H fracture stimulation and flow test, the largest stimulation executed in the basin to date with strong flow rates and relatively low decline rates compared to our peers.
This bodes well for future economic development scenarios. We are applying the learning from the Carpentaria-2H work into the design of Carpentaria-3H, our next horizontal well that is drilling now and will be stimulated and flow tested in the lead up to Christmas.
Crisis conditions in energy markets globally underscore the critical role of our position in the Beetaloo Basin to provide energy security to the people of Australia and the broader region. It has been exciting to engage actively with potential gas customers who recognize the role we are playing in Australia's future gas supply mix. We are firmly focused on entering into production as soon as possible.
Thank you to our teams in the US, where we had a strong financial performance this quarter, and Australia, and to our shareholders for your ongoing support. We are working hard to bring the Beetaloo into production".
*To view the full Quarterly Report, please visit:
https://abnnewswire.net/lnk/6J93A3C3
About Empire Energy Group Ltd
Empire Energy (ASX:EEG) (OTCMKTS:EEGUF) is a Sydney based Australian oil and gas company holding 100%-owned and operated assets with unconventional targets in the Northern Territory Beetaloo Sub-basin and central trough of the McArthur Basin.
Empire is an active Beetaloo Sub-basin operator, focused on maturing its assets to production. Following the successful appraisal drilling and flow testing of the Carpentaria-2H and 3H wells in Empire's EP187, Empire is targeting first gas flow in H1 2025 at its Carpentaria Pilot Project. The Pilot has a targeted sales gas rate of up to 25 TJ per day utilising the existing McArthur River Pipeline.
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