Strike Energy is ready to progress the South Erregulla-1 drilling campaign following the Western Australian Government awarding it $200,000.
The Western Australian Government has awarded Strike Energy $200,000 to contribute towards the South Erregulla-1 drilling campaign.
The company highlighted that the exploration incentive scheme (EIS) grant is an endorsement of its technical work and the state’s support in seeing the resources commercialised as quickly as possible.
The South Erregulla-1 well is being prepared for a fourth quarter spud.
The WA Department of Mines, Industry Regulation and Safety (DMIRS) has also granted Strike exploration permit EP505.
This is due to the conversion of EPA98 and resulting from endorsement from the various stakeholders with infrastructure inside the permit boundaries and the conclusion of the Geraldton alternate settlement agreement and the corresponding Indigenous land use agreement.
Strike advised that the grant of this permit allows for the progression of data acquisition over its current flagship opportunity in South Erregulla, starting with the Maior 2D seismic survey, set to begin in the mid part of 2021.
The results from the West Erregulla campaign have been applied to the South Erregulla prospect, resulting in an increase in the assessed probable of success to 61 per cent.
Managing director and chief executive officer Stuart Nicholls said the increasing confidence in prospectivity driven by the West Erregulla appraisal campaign, provides further endorsement for Strike to commit to expenditure for long lead items for South Erregulla-1 later this year.