Strike Energy has released its highlights for the last quarter, which included positive confirmation of a conventional gas accumulation at the Walyering-5 appraisal well.
Managing director and chief executive Stuart Nicholls said Strike continued its run of successful exploration and appraisals win the Perth Basin during the last quarter.
“Upon successful flow testing, Strike intends to restart production from Walyering as soon as practical and progress towards first cashflows, which with an aggressive development plan could come as early as the end of the current calendar.”
Walyering-5 results reportedly “exceeded expectations” and confirmed the presence of high-quality, low carbon dioxide (CO2) conventional gas at the field.
The company said that Walyering presents a “low capex and fast development” opportunity for Strike to monetise the asset on successful production testing scheduled for the first quarter of this year.
Highlights also included developments in the North Perth Basin, with West Erregulla upstream and midstream environmental approvals progressed and preliminary due diligence activities underway.
“The company’s focus now turns to the execution of the South Erregulla 11 well that spudded in mid-January, and has the potential to unlock the gas feedstock for Project Haber, Strike’s fully integrated 1.4 mtpa low carbon urea manufacturing facility,” said Nicholls.
Strike was awarded a $2 million grant for Project Haber under the Federal Government’s supply chain resilience initiative, and early FEED works are underway.
Strike established the Mid-West Hydrogen Hub, with proposed funding from both the Western Australian and Federal governments.
Click here to view the full quarterly report.
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