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Elixir Energy Advances Strategic Plan with New Drilling Campaign and Cost Reductions

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Elixir Energy Advances Strategic Plan with New Drilling Campaign and Cost Reductions

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Elixir Energy Limited ( (AU:EXR) ) has provided an update.

Elixir Energy Limited has reported a productive quarter, highlighting the implementation of its ‘fast follower’ 3-Phase Strategic Plan to develop its substantial gas resources in the Taroom Trough. The company has appointed a new Chief Operating Officer to enhance operational discipline and is progressing towards joint venture deals with XState Resources and Santos. Elixir plans to commence a two-well drilling campaign, starting with the Diona-1 exploration well, followed by the Lorelle-3 appraisal well, which could significantly impact the company’s understanding of the Basin Centred Gas Play. The company has also initiated a cost reduction program, cutting approximately 30% of its recurring costs, and ended the quarter with $10.4 million in cash, ensuring funding for the first phase of its strategic plan. Elixir’s strategy aims to secure long-term retention of its acreage, prove commercially viable reserves, and drive early production opportunities, potentially increasing the value of its assets due to significant investment in neighboring areas.

The most recent analyst rating on (AU:EXR) stock is a Buy with a A$0.25 price target. To see the full list of analyst forecasts on Elixir Energy Limited stock, see the AU:EXR Stock Forecast page.

More about Elixir Energy Limited

Elixir Energy Limited operates in the energy sector, focusing on the exploration and development of gas resources. The company holds significant acreage in Queensland’s Taroom Trough, with a strategic plan to mature its 2.6 TCFe of 2C net Contingent Resources. Elixir aims to capitalize on nearby developments and investments to accelerate its progress and position itself as a strategic ‘fast follower’ in the market.

YTD Price Performance: -34.09%

Average Trading Volume: 1,699,827

Technical Sentiment Signal: Sell

Current Market Cap: A$40.59M

Find detailed analytics on EXR stock on TipRanks’ Stock Analysis page.

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