Triangle Energy Advances Perth Basin Exploration with Rig Contract
TEG (TEG) Share Update November 2024 Monday 4th
Triangle Energy Secures Rig for Perth Basin Exploration
Triangle Energy Global Ltd (ASX:TEG) has announced the signing of a rig contract for the Becos-1 exploration well in the Perth Basin, marking a significant step forward in its drilling campaign.
Instant Summary:
- Triangle Energy secures Silver City Rig 24 for Becos-1 well.
- Drilling to commence end of March 2025.
- Target resources range from 1 MMbbl to 21 MMbbl.
- Best estimate of 5 MMbbl with a 20% chance of success.
- Rig will mobilize from Canning Basin after workovers.
Rig Contract Details
Triangle Energy Global Ltd, in collaboration with its joint venture partners Strike Energy and Echelon Resources, has secured Silver City Rig 24 for the upcoming Becos-1 exploration well in the Perth Basin. This contract follows the approval of the Environmental Plan for the Becos site.
The rig will relocate from the Canning Basin, where it will first complete a series of well workovers. The workovers will be conducted on a 12-hour operations basis with a break over the Christmas period, allowing the rig to mobilize to the Becos-1 site by the end of March 2025.
Exploration Targets
The Becos-1 well will target a range of resources, with estimates varying from a low case of 1 million barrels (MMbbl) to a high case of 21 MMbbl. The best estimate is approximately 5 MMbbl, with a geological probability of success (GPOS) of 20%.
The primary targets for the Becos-1 well are the Arranoo and Bookara sandstones, expected to be encountered between 700 and 800 meters measured depth. There is also potential to discover a further reservoir in the Kingia sandstone, should it be present at this location.
Operational Timeline
The preliminary time depth curve suggests that the rig will be on location for approximately 12 days, with an estimated drill time of 7 days. Triangle Energy's Managing Director, Conrad Todd, emphasized the significance of this contract, noting that it represents a crucial step in the company's Perth Basin drilling campaign.
The announcement of the rig contract is a positive development for Triangle Energy, potentially boosting investor confidence in the company's exploration capabilities. The successful drilling of Becos-1 could significantly enhance Triangle's resource base and production potential, which may positively impact the company's stock price.
Investor Reaction:
Analysts are likely to view this development as a positive step for Triangle Energy, particularly given the fully funded status of the project. The potential resource estimates and the strategic location in the Perth Basin add to the attractiveness of this venture.
Conclusion:
Investors should keep an eye on the progress of the Becos-1 well as it could play a pivotal role in Triangle Energy's future growth. The successful execution of this project may lead to increased value for shareholders and strengthen the company's position in the energy sector.