Vintage Energy (ASX: VEN) has reported continued progress across its Cooper Basin gas operations, with the September quarter marked by field optimisation works under the company’s Production Uplift Program and stable 2P reserves of 12.5 million barrels of oil equivalent.
Revenue for the quarter came to $0.9 million from production of 0.08 petajoule equivalent, while the company closed the period with $1.7m in cash and no lost-time injuries recorded.
Managing director Neil Gibbins said the first phase of the Production Uplift Program at the Odin gas field “confirmed the presence of scale accumulation,” adding that subsequent work at the Vali field had delivered encouraging early results.
Progress at Southern Flank Gas Fields
Activity during the quarter centred on execution of the Production Uplift Program across the Odin and Vali gas fields in the Southern Flank of the Cooper Basin.
At Odin, scale removal at both wells validated the company’s approach to improving long-term performance, with Odin-1 online for 78.8 days and Odin-2 for 45.8 days during the quarter.
Average daily raw gas output was 2.16 million standard cubic feet per day, reflecting the benefit of recent decline-mitigation efforts.
Operations at Vali included scale remediation, re-perforation, and testing of the Toolachee and Patchawarra formations.
While Vali-1 returned to Patchawarra production, Vintage brought Vali-2 back online post-quarter with promising gas flows, and plans further work there to optimise production from Toolachee intervals.
Financial and Reserves Overview
Quarterly sales revenue of $902,800 represented a 24% decline from the prior quarter, largely due to downtime associated with uplift works and the absence of liquids liftings.
Operating cash outflow was $0.57m, with exploration and evaluation expenditure of $0.21m, while borrowings net of cash were $8.31m as at 30 September.
Reserves at both the proved (1P) and proved-plus-probable (2P) levels were steady at 6.2 MMboe and 12.5 MMboe respectively, representing 71 petajoules of gas and associated liquids.
Vintage also advanced its divestment of the Victorian permit PEP 171 to Beach Energy for $1.25m, with ministerial consent the final outstanding condition before completion.
Exploration and Portfolio Activity
Geotechnical assessment in ATP 2021 highlighted a promising dual-target oil and gas prospect known as Altar, which Vintage plans to progress through a farm-out to support drilling and 3D seismic work.
Partner Otway Energy is advancing a feasibility study with Beijing Maison Engineering on a food-grade carbon dioxide project at the Nangwarry field In the Otway Basin, which it expects to complete by year-end.
In the Galilee Basin, the company retained contingent resources of 46 MMboe net to Vintage through its 30% stake in the Deeps sandstone reservoirs, where Albany-1 and Albany-2 confirmed the basin’s gas potential.
Vintage continued discussions with the government regarding EP 126, a 6,716 sq km permit in the Northern Territory’s Bonaparte Basin, receiving notice post-quarter that policy amendments will clear a pathway to re-enter the high-potential Cullen-1 well site and allow exploration to resume.
Mr Gibbins said Vintage remained focused on its Southern Flank assets while positioning its wider portfolio to generate future value through selective exploration, partnerships, and monetisation opportunities.
