Elixir Energy Limited

Release Highlights:

• Prospective resources of 712 billion cubic feet (2U) booked in Sub-Block B of ATP 2077
• Farmout campaign for the Diona Block (Sub-Block C of ATP 2077) well under way
• Updated contingent resources for ATP 2044 expected before year end

Report Highlights:

• Elixir Energy Ltd. (ASX: EXR) successfully stimulated and flow-tested its Daydream-2 well, marking a significant milestone with gas production from multiple zones, including deep coals for the first time in Queensland’s Taroom Trough. Additionally, the formal award of ATP 2077 has added 173 Bcf of contingent resources to Elixir’s Grandis Gas Project, expanding its foothold in the Australian gas sector and enhancing future production potential.
• Elixir’s financial position remains robust, with a net cash balance of AUD 10.0M (USD 6.5M) at the end of the quarter. This strength is bolstered by a recent capital raise of AUD 6.25M (USD 4.1M) completed in July, alongside an anticipated R&D tax credit receivable of AUD 10.7M (USD 6.9M) related to the Daydream-2 program. Total exploration expenditure for the quarter reached AUD 6.8M (USD 4.4M), reflecting Elixir’s continued investment in its core Australian assets.
• In Mongolia, Elixir made steady progress on its Nomgon pilot project, focusing on de-watering coal seams to lower reservoir pressure and prepare for sustained gas production. Meanwhile, Elixir is actively reviewing its renewable energy assets to potentially support cleaner energy supply for local mining operations and the broader regional grid, aligning with Mongolia’s increasing demand for sustainable energy solutions.

Release Highlights:

• Elixir Energy Limited (ASX: EXR) is pleased to announce the execution of a non-binding Memorandum of Understanding (MOU) with AGI Development Group Pty Ltd, a subsidiary of Australian Gas Infrastructure Group (AGIG).
• The MOU provides the parties with an initial framework under which to investigate the potential development of gas infrastructure assets to support the possible future production of gas from Elixir’s Grandis Gas Project in the Taroom Trough.
• The key elements that the parties will initially consider will be in the areas of a new gas transmission pipeline to the Wallumbilla Hub; processing and compression facilities; and gas storage facilities. The parties may seek to bring in parties such as the owners of other complementary upstream assets and Government bodies into this process.

Presentation Highlights:

• The World needs more gas for longer – now explicitly recognised by Government policy. The East Coast has very strong pricing, a growing supply gap & LNG plant ullage.
• The Taroom Trough has multiple locational advantages to serve these markets. The Taroom is currently hosting multiple operator programs under which $100Ms are being spent.
• The massive Taroom unconventional gas play is starting to be unlocked with multiple achievements to date. The results from Daydream-2 have led to proving the BCG play in the Taroom and multiple technical breakthroughs.
  

Release Highlights:

• Elixir Energy Ltd. (ASX: EXR) is pleased to announce the successful conclusion of testing at the Daydream-2 wellsite in its 100% owned Project Grandis in Queensland’s Taroom Trough, achieving commercial flow rate from five out of six stimulated zones. Included for the first time are two new deep coal zones, which Elixir Energy will now retain as future gas producers.
• Elixir Energy has met all license commitments for ATP 2044 and will proceed with applying for a retention lease (Potential Commercial Area) while also working on converting current prospective resources into contingent resources for export.
• At a 328% increase of contingent 2C (1.47 trillion cubic feet), and a 180% increase of prospective 2U (3.6 trillion cubic feet) since the previous resource estimate, Elixir Energy plans operational changes to improve and further de-risk the significant gas resources at the future wells now established and is progressing with plans for the Daydream-3 appraisal well.

Release Highlights:

• Elixir Energy Limited (ASX: EXR) is pleased to announce that the Coil Tubing Unit (CTU) has been deployed to the Daydream-2 wellsite in Elixir Energy’s Project Grandis location to clean out the remaining fluid and proppant at the bottom of the hole.
• The CTU has been rigged up on the wellbore and the operations will focus on removing the proppant and fluid from the base of the wellbore.
• Testing to achieve optimal stabilised flowrate is anticipated to begin later this week.

Presentation Highlights:

• The World needs more gas for longer – now explicitly recognized by Government policy. The East Coast has very strong pricing, a growing supply gap & LNG plant ullage.
• The Taroom Trough has multiple locational advantages to serve these markets. The Taroom is currently hosting multiple operator programs under which AUD 100M are being spent.
• The massive Taroom unconventional gas play is starting to be unlocked with multiple achievements to date Testing program to be finalized imminently – which will catalyze the next activity stages.

Release Highlights:

• Elixir Energy is pleased to announce that its Daydream-2 well has confirmed valuable contributions from the upper stimulated zones, with the lower zone’s flow temporarily impacted by fluid and proppant in the wellbore, to be cleared with nitrogen lift.
• The Coil Tubing Unit (CTU) is set to return to the well-site for nitrogen lift and clean-out work, anticipated by the end of the month, following the completion of operations with a neighboring operator.
• Elixir’s Managing Director, Neil Young, expressed optimism about the results and highlighted the increasing activity in the Taroom Trough region, underscoring its growing significance to Australia’s gas supplies.

Release Highlights:

• All temporary plugs successfully removed
• Well flowing gas and completion fluid with all zones open
• Production logging tool (PLT) operations to begin later this week

Release Highlights:

• Gas flowed to surface from top-most stimulated coal zone in Daydream-2
• This is the first flow from the deep coals in the Taroom Trough
• Elixir to work with its reserves certifiers for an initial contingent resource booking

Elixir Energy Limited originally lodged this ASX release on 23 August 2024. This updated version supersedes the previous release.