Omega Oil and Gas Limited announcement

Omega Oil and Gas Limited (Omega-ASX: OMA) has finalized a contract with Ensign Australia Pty Ltd for the Ensign Rig #965 to drill the Taroom Trough Canyon-1H well (C-1H) in Queensland's Taroom Trough. The Canyon-1H horizontal well is estimated to spud in Q3 2024, aiming to test the capacity of the Canyon Sandstone to flow gas and liquid hydrocarbons at commercial rates.

Executive Commentary

Omega's Interim CEO, Trevor Brown, expressed, 'Omega is very pleased to have contracted a highly suitable rig for our Canyon-1H horizontal well. The rig and crew are currently engaged in a horizontal well program nearby, so Omega will receive a "warm" rig and crew with recent experience drilling similar wells in the same basin. The Canyon-1H well will be a highly significant test of Queensland's Taroom Trough tight gas play.'

Summary of Omega Oil and Gas Limited Announcement

Omega Oil and Gas Limited has contracted Ensign Rig #965 for the drilling of the highly prospective Canyon-1H well in Queensland's Taroom Trough. The aim of the C-1H well is to test the capacity of the Canyon Sandstone to flow gas and liquid hydrocarbons at commercial rates, with the potential to progress Omega's multi-TCF Kianga Formation Contingent Resource towards Reserve. The company is well positioned to be a key player in the next generation of East Coast gas supply, aiming to meet the forecasted gas supply shortfall by 2028 and grow over time. Omega's strategic use of modern horizontal drilling and multi-stage stimulation technology is expected to unlock massive reserves and production, potentially providing a major new source of gas for Eastern Australia.