Elixir Energy (ASX:EXR) reports Lorelle-3H flow test results from Taroom Trough appraisal well
Elixir Energy has reported the results of the first phase of flow testing from the Lorelle-3H appraisal well in ATP2056 within Queensland’s Taroom Trough, including gas and condensate flow testing results from the Tinowon “Dunk” Sandstone formation.
The company reported peak rates of 10.4 mmscfd, approximately 13 TJd, plus 10 bbls/d condensate, averaging 6.1 mmscfd over the hour from approximately 1,000m of reservoir.
Highlights
Lorelle-3H achieved peak rates of 10.4 mmscfd, approximately 13 TJd, plus 10 bbls/d condensate, averaging 6.1 mmscfd over the hour from approximately 1,000m of reservoir.
Gas produced from Lorelle-3H recorded 1% CO2, approximately 10% ethane and approximately 4% propane, with a high energy/sales conversion factor of 1 mmscf to 1.21 Terajoules.
The produced light oil/condensate recorded an API gravity of 47.8°.
The company reported that the Lorelle-3H program met its key objectives, including proving that gas and condensate can be flowed at rates and pressures from multi-stage stimulated horizontal development wells in the Tinowon “Dunk” Sandstone.
Elixir intends to undertake a 60 day soak on Lorelle-3H before retesting the well at the start of October 2026.
Lorelle-3H is located in ATP2056 within the Taroom Trough in the Bowen Basin, with Elixir holding a 50% working interest in the appraisal well.
The tested formation was the Tinowon “Dunk” Sandstone, with tested intervals reaching 3,332m measured depth below rotary table.
The well underwent a 30 day cleanup and flowback test, during which Elixir reported recovery of 9.4 mmscf of gas and 53 bbls of 47.8 API oil/condensate.
During the cleanup phase, Lorelle-3H recovered 34% of its total injected stimulation fluid, equivalent to 18,000 bbls from 53,000 injected.
The company reported that the well produced gas to flare when open following gas breakthrough on 4 July 2026.
From the most stable 12 hour flow period, flow rates averaged 2.35 mmscfd with 6 bbls/d of light oil/condensate, equivalent to 2.4 mmscfde or 3 TJd expressed as a gas rate.
Elixir reported that gas and condensate ratios and compositions were collected to support preparatory works for development, along with flow conditions and data including pressures and temperatures.
The company also reported that the flow testing recorded zero returns of fracture stimulation sand during cleanup and flowback.
The company stated that Lorelle-3H provided data to support modelling that recoveries of commercial quantities of gas and condensate from multi-stage stimulated horizontal wells in the Tinowon “Dunk” Sandstone can be achieved, while noting that further data is required. Elixir also stated that future development wells of 2,000m length may deliver equivalent peak sales gas rates of 15 TJd and stabilised rates of 6 TJd based on the Lorelle-3H flow test.
Elixir Managing Director and Chief Executive Officer Stuart Nicholls commented on the Lorelle-3H testing program and planned further work.
“Lorelle-3H is more than a proof of concept and now provides a potential pathway to our first Reserves and subsequent development. Given its high percentage of stimulation fluid recovery, we intend to soak and continue to test this well to observe its ultimate potential.”
Elixir reported that Lorelle-3H is 55km from the Wallumbilla Gas Hub, where the company has commenced upstream plant and pipeline feasibility works.
The company stated that it is the largest acreage holder in the Taroom Trough in Queensland’s Bowen Basin and is aiming to appraise its independently certified ~3.5 TCF 2C Contingent Gas Resources.
Elixir intends to undertake a post initial flow technical review, including examination of stimulation fluids produced back through tracer analysis.
The company plans to undertake a 60 day soak on Lorelle-3H before retesting the well at the start of October 2026.