Australian Oil Company (ASX:AOK) Surat Basin Phase 1 development initiatives commence across production and field reinstatement assets

Australian Oil Company has commenced Phase 1 development initiatives across its Surat Oil Basin assets in Queensland, including intervention work at the Emu Apple Oil Field, ongoing Riverslea field planning activities and continued geological work across the Major Gas Field.

The update outlines operational progress across multiple producing and development assets within the company’s Surat Basin portfolio.

Highlights

• Phase 1 development initiatives underway in the Surat Oil Basin

• Intervention operations at Emu Apple-1 completed and well shut in for optimisation

• Riverslea Field Later Development Plan being revised for Riverslea-3 reinstatement

• Pumpjack infrastructure negotiations progressing for Emu Apple Oil Field deployment

• Major Gas Field geological mapping and resource work nearing completion

• Stepwise field reinstatement activities underway across Surat Basin assets

• Domestic exploration opportunities outside Surat Basin identified and due diligence completed

At the Emu Apple Oil Field, intervention operations at the Emu Apple-1 well have been completed, including back wash with condensate and additional treatments to improve well productivity, with the well currently shut in to allow optimisation of these treatments prior to recommencing production.

Geological mapping and risk assessment continues across the Emu Apple Oil Field, with ongoing work focused on identifying additional exploration targets within the block, forming part of the company’s field-level technical work across its Surat Basin tenure.

At the Riverslea Field, crude oil sampling from Riverslea-3 is ongoing and will be assayed to support offtake requirements.

The Riverslea Field Later Development Plan is being revised for submission to Queensland regulatory authorities, with a focus on reinstating Riverslea-3 into production via free flow and evaluating artificial lift and further interventions.

Geological mapping across the Greater Riverslea region is ongoing to identify and de-risk additional prospects, with planning for associated oilfield services, including rig mobilisation, being developed for Riverslea-3 and Riverslea-1 intervention activities.

At the Major Gas Field, geological interpretation and resource assessment work is nearing completion, with the results being integrated into ongoing commercial discussions relating to gas offtake.

Australian Oil Managing Director Kane Marshall said:

"The progress achieved on the Emu Apple-1 intervention and the nearing completion of Major Gas Field geological mapping mark important steps as we execute our Surat development roadmap. Our focus on phased field reinstatement, infrastructure acquisition and technical evaluation reflects our drive to maximise value across the Surat portfolio as we progress through 2026."

Across the broader Surat Basin, the company states that its strategy includes sequenced field reinstatement across the Major Gas Field, Riverslea Field and Emu Apple Oil Field.

Current work includes infrastructure acquisition negotiations for pumpjack equipment intended for deployment into Emu Apple and Riverslea fields.

Outside the Surat Basin, Australian Oil Company has completed due diligence on a number of domestic exploration opportunities and is assessing potential farm-in or acquisition opportunities.