Daydream-2 excitementAnother with drilling success in the Taroom Trough is Elixir Energy (ASX: EXR), which has hit an unexpected new, deeper gas intersection at its Daydream-2 well.
Managing director Neil Young and chief geoscientist Greg Channon said that the Taroom Trough is showing signs that it may provide the answers to gas shortages on the east coast.
“Taroom Trough is fabulously well located to meet the challenges—it is very close to Gladstone, where the LNG plants are [and] connected to the east coast markets in New South Wales and Victoria,” Mr Young said.
Substantial gas resource
He said recent exploration work by Elixir, Omega Oil & Gas and big players such as Shell and Santos had unlocked what is a substantial gas resource.
While Shell is keeping information on its Taroom Trough activities under wraps, industry sources have suggested it may be onto something significant.
Along with the unconfirmed reports of strong gas flows from the Shell wells, it has also been reported that the global major has committed to invest millions to continue its Taroom Trough testing program.
Mr Young said that the Taroom Trough had a multi-TCF potential unrivalled on the east coast for its volumes of gas.
While it is still early stages, the plans to step up drilling there are a good sign that industry is confident it can provide major changes to Australia’s energy equation
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