Elixir Energy Starts Diona-1 Testing to Unlock Taroom Trough Gas Potential

The latest announcement is out from Xstate Resources Limited ( (AU:XST) ).

Elixir Energy has begun rigging up stimulation equipment at the Diona-1 well in the ATP2077 Diona sub-block joint venture in Queensland, where it holds 49% alongside operator Xstate Resources with 51%. The well targets three zones of measured Permian gas-condensate pay, with completion using 2-3/8 inch tubing and subsequent flow testing and pressure monitoring planned.

Following fracture stimulation and completion, Elixir plans a flow-back, production, and pressure monitoring program expected to commence within about a week. Successful testing could confirm that Diona-1 lies within the western extent of the Taroom Trough, significantly enhancing the prospectivity and resource potential of the Diona sub-block and expanding Elixir’s Taroom Trough resource position.

Diona-1 is strategically located between the Silver Springs Gas Plant and the Waggamba gas field and sits less than 100 metres from the Waggamba to Silver Springs gas pipeline. A positive test result could therefore provide a rapid route to market via existing pipeline and processing infrastructure linked to the Wallumbilla Gas Hub, potentially accelerating commercialisation of any new gas resource.

More about Xstate Resources Limited

Elixir Energy Limited is an Australian oil and gas explorer and producer focused on unconventional and conventional gas resources. The company holds acreage in the Surat-Bowen Basin in Queensland, where it targets gas-condensate plays with access to established pipeline and processing infrastructure and exposure to eastern Australian gas markets.

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Current Market Cap: A$15.36M

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