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Elixir Energy engages new stimulation contractor with Grandis gas program to resume

Published 17/06/2024, 10:04 am
© Reuters.  Elixir Energy engages new stimulation contractor with Grandis gas program to resume

Elixir Energy Ltd (ASX:EXR, OTC:ELXPF) is preparing to resume the stimulation program at the 100% owned Grandis Gas Project adjacent to the Wallumbilla gas hub in Queensland with Condor Energy engaged as the new stimulation contractor.

The engagement of the leading Australian well services company to complete the remaining stimulation follows recent operational issues in the stimulation phase of the Daydream-2 appraisal program.

Condor expects to be in a position to recommence this work in late July or early August with the exact timing to become clearer in coming weeks as the availability of coil tubing equipment being utilised by a neighbouring operator becomes clearer.

Debris removed

In the last week, Elixir has successfully removed all debris associated with the lodged setting mechanism of the lowermost bridge plug, clearing the path for the resumption of stimulation and testing operations.

Elixir’s managing director Neil Young said: “We are very pleased to announce that our stimulation program at Daydream-2 will resume in the short term and that the highly experienced team at Condor will be working with us to make this as successful as possible.

"We aim to flow test all the target zones of the well in August.”

The Lorelle Sandstone, which flowed at a stabilized rate of 1.3 million cubic feet per day – pre-stimulation - will form part of the multi-zone flow testing operations.

About Condor

Condor is one of Australia’s leading well services companies and has substantial relevant recent experience in successfully performing high-impact stimulation operations in various locations such as the Beetaloo Basin in the Northern Territory and in the Taroom Trough adjacent to the Grandis gas project.

Elixir and Condor have successfully worked together in earlier stages of the Daydream-2 program.

Read more on Proactive Investors AU

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