Falcon Oil & Gas Ltd.
(“Falcon” or the “Company”)
2021 work program Update – Beetaloo sub-basin
July 20, 2021 – Falcon Oil & Gas Ltd. (TSXV: FO, AIM: FOG) provides an update on the 2021 work program.
As indicated in the Company’s press release of June 22, 2021, operations resumed at Kyalla 117 N2-1H ST2 (âKyalla 117â) In the Beetaloo sub-basin, Northern Territory, Australia with our joint venture partner, Origin Energy B2 Pty Ltd., a wholly owned subsidiary of Origin Energy Limited.
Activity focused on continuing to clean Kyalla 117 for extended production testing, using nitrogen to support operations.
This allowed the Kyalla 117 well to resume unassisted flow for intermittent periods, however, production was not sustained and there is evidence of a potential restriction in the bottom flow.
Operations will now be temporarily suspended while the cause of the restriction is investigated, the results of which will inform the development of a new plan for the future for Kyalla 117.
In the meantime, the joint venture will continue to focus on other elements of the work program. The joint venture remains on track to drill the Velkerri 76 well and begin a new extended production test at Amungee NW 1H in the coming weeks.
This announcement contains inside information.
|Falcon Oil & Gas Ltd.||+353 1 676 8702|
|Philip O’Quigley, CEO||+353 87 814 7042|
|Anne Flynn, Chief Financial Officer||+353 1 676 9162|
|Cenkos Securities plc (NOMAD & Broker)|
|Neil McDonald / Derrick Lee||+44 131 220 9771|
This announcement was reviewed by Dr GÃ¡bor Bada, Technical Operations Manager of Falcon Oil & Gas Ltd. Dr Bada received his degree in geology from EÃ¶tvÃ¶s L. University in Budapest, Hungary, and his doctorate from Vrije Universiteit Amsterdam, the Netherlands. He is a member of the AAPG.
About Falcon Oil & Gas Ltd.
Falcon Oil & Gas Ltd is an international oil and gas company engaged in the exploration and development of unconventional oil and gas assets, with the current portfolio focused on Australia, South Africa and Hungary. Falcon Oil & Gas Ltd is incorporated in British Columbia, Canada and is headquartered in Dublin, Ireland, with a technical team based in Budapest, Hungary.
Falcon Oil & Gas Australia Limited is a c. 98% subsidiary of Falcon Oil & Gas Ltd. Falcon Oil & Gas Australia Limited and a wholly-owned subsidiary of Origin Energy Limited (ASX: ORG) (“Originâ) Are Joint Venture (â JV â) partners in the Beetaloo project.
For more information on Falcon Oil & Gas Ltd., please visit www.falconoilandgas.com
About the origin
Origin is one of Australia’s leading integrated energy companies. Origin is a leading energy retailer with approximately 4.2 million accounts receivable, has approximately 7,500 MW of proprietary and contracted power generation capacity, and is also a major supplier of natural gas. Origin is the upstream operator of Australia Pacific LNG, which supplies natural gas to domestic markets and exports LNG on long-term contracts.
Glossary of terms
JV Joint venture between Falcon Oil & Gas Australia Limited and a 100% subsidiary of Origin Energy Limited (ASX: ORG)
LNG Liquefied natural gas
Notice Regarding Forward-Looking Statements
Certain information contained in this press release may constitute forward-looking information. All statements contained in this press release that are not statements of historical fact can be considered as forward-looking information. Forward-looking information generally contains statements with words such as “may”, “will”, “should”, “expect”, “intend”, “plan”, “anticipate”, “believe”, “estimate”, “projects”, “dependent”, “potential”, “planned”, “forecast”, “prospect”, “budget”, “hope”, “support” or the negative of these or similar words suggesting future results. In particular, the forward-looking information contained in this press release includes, without limitation, information relating to the 2021 work program, the break in operations at Kyalla 117, the operations to be carried out at Amungee NW-1H and Velkerri 76, the prospectivity of the Middle Velkerri and Kyalla zones and the prospect of commercializing the exploration program. This information is based on current expectations which are subject to significant risks and uncertainties which are difficult to predict. Risks, assumptions and other factors that could influence actual results include risks associated with fluctuations in market prices for shale gas; risks associated with the exploration, development and production of shale gas reserves; general economic, market and business conditions; significant capital requirements; uncertainties inherent in estimating quantities of reserves and resources; the extent and cost of complying with government laws and regulations and the effect of changes in such laws and regulations; the need to obtain regulatory approvals before development begins; environmental risks and hazards and the cost of complying with environmental regulations; indigenous claims; risks and dangers inherent in operations such as mechanical or pipeline failure, crater formation and other hazardous conditions; potential cost overruns, well drilling is speculative, often involving significant costs which may be higher than estimates and may not result in discoveries; changes in exchange rates; competition for capital, equipment, new leases, pipeline capacity and qualified personnel; failure of the licensee, leasing and permit holder to comply with the requirements of the latter; changes in royalty regimes; failure to accurately estimate abandonment and reclamation costs; inaccurate estimates and assumptions by management and their joint venture partners; the effectiveness of internal controls; the potential lack of available drilling equipment; failure to obtain or retain key personnel; title deficiencies; geopolitical risks; and the risk of litigation.
Readers are cautioned that the foregoing list of important factors is not exhaustive and that these factors and risks are difficult to predict. Actual results may differ materially from results suggested in forward-looking statements. Falcon assumes no obligation to update any forward-looking statements or to update the reasons why actual results may differ from those reflected in forward-looking statements unless and until applicable securities laws. Falcon demand it. Additional information identifying risks and uncertainties is contained in documents filed by Falcon with Canadian securities regulators, which documents are available at www.sedar.com, including under the heading âRisk Factorsâ in the annual information form.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.