Strike Energy Increases Walyering 2P Gas Reserves after West Discovery

Strike Energy (ASX: STX) has increased 2P sales gas reserves at its 100%-owned Walyering field in Western Australia to 16.4 petajoules after incorporating the recently discovered Walyering West accumulation.

Independent petroleum consultant RISC Advisory assessed 6.1PJ of 1P sales gas reserves, 16.4PJ of 2P reserves, and 29.6PJ of 3P reserves as at 1 July 2026, after accounting for 5.7PJ of sales gas production during the financial year 2026.

The 2P figure rose from 13.6PJ a year earlier despite that production, while the addition of Walyering West also lifted 2C contingent resources to 26.5PJ from 16.7PJ.

Strike is progressing planning and Front End Engineering and Design (FEED) for a tie-in of Walyering West 1 to its existing Walyering processing facility, with a final investment decision expected in the fourth quarter of calendar year 2026.

Walyering West Reserve Growth

The revised reserve position primarily reflects the C1 sand at Walyering West 1, where maiden 2P reserves have now been booked following the discovery adjacent to the producing Walyering field.

RISC attributed 8.7PJ of 2P sales gas reserve additions to the combined field before a 0.2PJ downward revision, while Walyering 5 and Walyering 6 showed modest increases in connected volumes and Walyering 7 volumes were removed.

The annual review combines the producing Walyering gas field and Walyering West into a single reserves booking because Strike plans to develop the new accumulation through existing production and processing infrastructure.

“The addition of Walyering West to the Walyering Reserves booking is a great outcome for Strike,” managing director and chief executive officer Shelley Robertson said.

“Strike will continue to focus on optimising production from the combined field and prudently managing its gas supply portfolio to support delivery under its existing gas sales agreements."

Tie-In Work Moving Forward

FEED work is focused on connecting Walyering West 1 to the Walyering gas processing facility, with reserves associated with the well classified as undeveloped until the tie-in is completed.

Strike expects compression across the existing well inventory to start in the third quarter of calendar year 2026, with the recoverable quantities incorporating that planned work.

New contingent resources have also been booked at Walyering West across the Asub1, D1, D2, D3, and D4 sands, contributing to a 10PJ increase in the 2C category.

Development of those contingent resources remains subject to technical work, including establishing a stable production method for liquids-rich fluids in the Asub1 interval and a workover to shut off a water zone and retest the D sands.

Contracted Gas Sales Base

As at 1 July, Strike had about 16.3PJ of contracted gas remaining to be supplied under its current firm Gas Supply Agreements.

That contracted volume compares with the combined field’s current 16.4PJ of 2P sales gas reserves, alongside the additional contingent resources identified through the Walyering West discovery.

Strike holds a 100% operated interest in licence L23, with all Walyering reserve and contingent resource estimates reported net to the company and stated net of fuel, flare, and vent.

The estimates follow the Petroleum Resources Management System 2018, while the contingent resource estimates are un-risked and Strike estimates a 50% chance of development.