Highlight
- Tamboran Resources Corporation and Santos Limited (ASX:STO) have entered into a non-binding Memorandum of Understanding to conduct technical studies relating to the potential expansion of Darwin LNG (DLNG) Line 2 and collaborative work on the jointly owned EP 161 block. (Santos Operator 75%, Tamboran 25%) in the Petalo Basin.
- The aim of the studies is to evaluate options for supplying a potential expansion train at the existing DLNG facility at Middle Arm. DLNG is approved for a nominal production of 10 million tons of liquefied natural gas per annum (MTPA), with expansion opportunity of up to 6 million tons per year.
- Santos is the operator of the existing DLNG project with an operating interest of 43.4%.
- Tamboran and Santos are joint venture partners in the EP 161 acreage containing approximately 300,000 acres of the Mid Velkerri B Shale at depths of less than 8,850 feet (about 2,700 meters). The area showed Marcellus Basin-type dip curves from two Tanumbrian wells drilled and flow tested in 2022.
- Tamboran remains committed to progressing the development of the proposed NTLNG project in Middle Arm, which is currently undergoing pre-FEED studies with Bechtel Corporation.
- Both Tamboran and Santos are committed to supplying natural gas from the Petalo Basin to both Australian domestic gas and international LNG markets.
NEW YORK–(BUSINESS WIRE)–Joel Riddle, Managing Director and CEO of Tamboran Resources Corporation, said:
The MoU between Tamboran and Santos aims to explore marketing options for the development of DLNG Train No. 2 using natural gas available from the vast potential gas resources within the Pitalo Basin.
With nearly two million net acre-feet potential across the Beetaloo Basin, Tamboran has significant gas resources capable of supplying the gas market in the Northern Territory and east coast of Australia for decades. With multiple marketing paths across the Darwin and Gladstone LNG markets and the East Coast domestic gas market, Tamboran is well positioned to evaluate opportunities to accelerate value for our shareholders.
Tamburan and Santos have been partners in the EP 161 space, which hosts the East Petalo area, for more than a decade.
We believe the shale found in the deeper East Beetaloo area is on par with some of the qualities of the high-quality shale we have successfully released in the southern Shenandoah area west of Beetaloo. East of Petalo is the site of the Tanumbrini wells, which were drilled and flow tested in 2022 and were the first wells in the basin to show Marcellus Basin-style regression curves, albeit using smaller-scale equipment and drilling and stimulation techniques.
We look forward to enhancing discussions with Santos to unlock this important shale gas resource and contribute to the expansion of DLNG in Darwin.” This development has the potential to provide royalties to the Northern Territory Government while providing employment and royalties to Aboriginal title holders in the region.
Episode 161 concerns
|
a company |
interest |
|
SANTOS QNT PTY LIMITED1 |
75.0% |
|
Tamboran Resources Corporation |
25.0% |
|
the total (EPA:) |
100.0% |
1Refers to a 161 EGP space operator.
This announcement has been approved and authorized to be made by Joel Riddle, Managing Director and CEO of Tamboran Resources Corporation.
About Tamboran Resources Corporation
Tamboran Resources Corporation, (Tamboran or the Company), through its subsidiaries, is the largest acreage owner and operator of approximately 1.9 million potential acres in the Beetaloo Sub-Basin within the Greater McArthur Basin in the Northern Territory of Australia.
Tamboran’s principal assets include a 38.75% working and working interest in EPs 98, 117 and 76, a 100% working and operating interest in EP 136 and a 25% non-operating working interest in EP 161, all of which are located in the Beetaloo Basin. .
Disclaimer
Tamboran makes no representation, assurance or warranty as to the accuracy or likelihood of fulfillment of any forward-looking statement or any results expressed or implied by any forward-looking statement. The forward-looking statements contained in this report reflect expectations as of the date hereof. Except as required by applicable law or the ASX Listing Rules, Tamboran disclaims any obligation or undertaking to publicly update any forward-looking statements, or discuss future financial expectations, whether as a result of new information or future events.
The information contained in this announcement does not take into account the investment objectives, financial situation or particular needs of any recipient and does not constitute financial advice. Before making an investment decision, recipients of this announcement should consider their own needs and situation and, if necessary, seek independent professional advice. To the maximum extent permitted by law, Tamboran, its officers, employees, agents and consultants make no warranty, representation or guarantee as to the accuracy, completeness or reliability of the information contained in this presentation. Furthermore, neither Tambouran nor its officers, employees, agents or consultants, to the extent permitted by law, accept liability for any loss, claim, damages, costs or expenses arising out of or in connection with the information contained in this announcement.
Note about forward-looking statements
This press release contains forward-looking statements relating to the Company within the meaning of Section 21E of the Securities Act of 1934, as amended (Exchange Act) and Section 27A of the Securities Exchange Act of 1933, as amended. Forward-looking statements reflect the Company’s current expectations and projections about future events at that time and therefore involve uncertainty and risk. The words “believe, expect, expect, will, could, will, should, might, plan, estimate, intend, forecast, potential, continue, and the negatives of these words and other similar expressions generally identify forward-looking statements.”
The Company’s future financial performance could differ from expectations due to a variety of factors, including but not limited to: early stage of development with no material revenues expected until 2026 and our limited operating history; significant additional capital required for our business plan, which we may not be able to raise on acceptable terms; Our strategy to deliver natural gas to the Australian east coast and select Asian markets is contingent on the construction of additional pipeline capacity, which may not be secured; the absence of proven reserves and the risk that our drilling operations will not produce natural gas in commercial quantities or quality; the speculative nature of drilling activities, which involve significant costs and may not result in discoveries or additions to our future production or reserves; challenges associated with importing US practices and technology into the Northern Territory, which could impact our operations and growth due to limited local expertise; the critical need for timely access to appropriate equipment and infrastructure, which may impact our market access and business plan execution; operational complexities and risks inherent in drilling, completions, maintenance and hydraulic fracturing operations that could adversely affect our business; natural gas price volatility and its potential adverse impact on our financial condition and operations; the risks of construction delays, cost overruns and negative impacts on our financial and operating performance associated with midstream projects; the potential material impact on our business if our assessments of Beetaloo are materially inaccurate; concentration of all of our assets and operations in Beetaloo, making us vulnerable to region-specific risks; the significant doubt raised by our recurring operating losses, negative cash flows, and cumulative net losses about our ability to continue as a going concern; complex laws and regulations that could affect our operating costs and feasibility or result in significant liabilities; community opposition that could result in costly delays and hinder our ability to obtain necessary governmental approvals; exploration and development activities at Beetaloo that could result in legal disputes, operational disruptions and reputational damage due to indigenous ownership and heritage issues; natural gas production requirements on a Scope 1 net-zero basis upon commencement of commercial production, with internal targets for net-zero operation, which may increase our production costs; increased attention to environmental, social, governance issues and conservation measures that could negatively impact our business operations; risks related to our corporate structure; risks related to our common stock and CDIs; and other risk factors discussed in this report and the Company’s filings with the Securities and Exchange Commission.
It is not possible to predict or determine all of these factors. Any forward-looking statements in this document are based on certain assumptions and analyzes made by the Company in light of its experience and perception of historical trends, current conditions, expected future developments and other factors that it believes are appropriate in the circumstances. Forward-looking statements are not guarantees of future performance and actual results or developments may differ materially from expectations. While the Company continually reviews trends and uncertainties affecting the Company’s results of operations and financial condition, the Company undertakes no obligation to update or supplement any particular forward-looking statements contained herein.
View source version on Businesswire.com: https://www.businesswire.com/news/home/20250122852542/en/
Investor inquiries:
Chris Morby, Vice President, Corporate Development and Investor Relations
+61 2 8330 6626
Investors@tamboran.com
Media inquiries:
+61 2 8330 6626
Media@tamboran.com
Source: Tamboran Resources Corporation