Elixir Energy Confirms Substantial Gas-Condensate Pay in Lorelle-3H Ahead of June Testing

Elixir Energy (ASX: EXR) has confirmed significant gas-condensate net pay in the Lorelle-3H well, completing the appraisal campaign and advancing seismic and other well preparations.

Lorelle-3H measured 1,033m of net gas-condensate pay in the Tinowon “Dunk” Sandstone lateral, with an average porosity of 11.2% and maximum porosity of 18%.

This well reached a total depth of 4,477m MDRT, with a 1,157m lateral drilled entirely within the primary objective.

The broader Lorelle-3/3H appraisal campaign in ATP2056 confirmed four gas-condensate reservoirs totalling 148m net pay, with wireline logging showing positive results across both primary and secondary reservoirs.

Stimulation and production testing for Lorelle-3H are scheduled for June 2026.

Halliburton has been awarded the stimulation contract, and Enserve/SLB will handle testing under integrated services arrangements.

Teelba Seismic Enhances Taroom Trough Insight

The 225km Teelba 2D seismic program in ATP2057 has been completed on schedule and on budget.

Of this, 205.4km was acquired within the permit, with 19.3km for tie lines and imaging.

This data will support the definition of a potential new 2C contingent gas-condensate resource in ATP2057.

Processing is underway and estimated to take around six weeks.

The survey is on trend with the Permian package and reservoir units observed in the Lorelle-3/3H appraisal well, supporting a consistent geological interpretation across Elixir's acreage.

Diona-1 Preparation and Funding Update

Preparation for the three-stage stimulation and testing of the Diona-1 well in the ATP2077 Diona sub-block is well advanced.

This crucial activity is scheduled to commence in late April 2026.

The company reported total available liquidity of $22.3 million at 31 March 2026.

This includes cash and an $8.05 million undrawn AusIndustry Advance Finding (R&D) facility, which has a maximum of $10 million.

Elixir stated it is fully funded for its remaining 2026 activities, bolstered by a $2.68 million tranche payment from an Omega placement received during the quarter.

Gas Marketing Feasibility Underway

An Early Works Agreement with APA Group is progressing feasibility studies for a gas-to-market pathway for Elixir's northern Taroom Trough gas to the Wallumbilla Gas Hub.

The 12-week study will compare pipeline route options, define pathways for gas sales, and prepare the basis for entry into pre-FEED.

The outputs from this feasibility study are a critical input for evaluating potential Reserves booking post Lorelle-3H flow testing, expected to commence in June 2026.

"Elixir has just delivered one of the most active quarters in its history and is now entering a key catalyst period," chief executive officer Stuart Nicholls said.

"With flow testing of Diona-1 and Lorelle-3H scheduled for the coming quarter, the company is well-positioned to deliver value-defining outcomes as it advances toward booking its maiden 2P Reserves in the Taroom Trough.”