ADX Energy matures seven drill-ready Austrian shallow gas prospects

ADX Energy is progressing farm-in discussions aimed at enabling drilling of shallow Austrian gas prospects in late Q4 2025 or Q1 2026.

ADX has seven drill-ready shallow gas targets in Austria. Pic: Getty Images

Special Report: ADX Energy has progressed its shallow gas ambitions in Austria with the maturing of seven prospects with mean prospective resources totalling 29 billion cubic feet of gas to drill-ready status.

• ADX Energy matures seven Austrian shallow gas prospects to drill-ready status
• The prospects are estimated to host collective mean prospective resources of 29Bcf of gas
• Farm-in discussions underway with the aim of starting drilling in late Q4 2025 or Q1 2026

The prospects in the ADX-AT-I and ADX-AT-II exploration licences in Upper Austria will be the subject of a multi-well program that can deliver efficiencies through reduced mobilisation costs as well as shared resources.

Exploration success rates are expected to be high as the prospects have comparable 3D seismic signatures to historical gas discoveries encountered across the basin.

Should drilling define shallow gas resources, ADX Energy (ASX:ADX) will create well clusters that can be developed by sharing production facilities and pipeline tie-ins to optimise production, minimise cost and maximise value.

Executive chairman Ian Tchacos said the shallow prospects represented an extensive and valuable exploration play in an investment setting where gas was highly valued and could be rapidly brought to market.

“This opportunity has been developed by the application of advanced seismic techniques to an extensive 3D seismic, well and production database which is available to ADX in Upper Austria,” he added.

“This underappreciated play was originated by our experienced local team working with international experts.”

Shallow gas prospects

Five of the shallow gas prospects are in the proven, extensive, repeatable Hall Formation gas play that has produced cumulative reserves of 232Bcf to date.

The play comprises stacked thin, turbiditic sand bodies that host pure methane gas (natural gas) with prospects identified by calibrating advanced 3D seismic attribute and AVO analysis against producing fields across the basin.

Another two prospects to be tested by the company are held under an equal joint venture with MND.

These are just the most mature prospects identified to date with the company having an inventory of more than 30 leads and prospects across its Upper Austrian acreage.

GOLD cluster of shallow gas prospects. Pic: ADX Energy

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Next steps

The company has started discussions with a number of potential farm-in partners with a view to providing further funding for drilling of the GOLD prospect in the ADX-AT-II licence.

ADX has commenced operational planning, rig contracting discussions, land acquisition and permitting for a multi-well drilling program that will initially test GOLD in late Q4 2025 or Q1 2026.

Land has also been secured for the SCHOE and HOCH prospects it shares with MND.

Work is currently underway to mature a further four shallow gas prospects within the ADX-AT-I shallow gas areas that offer near-term potential.

Prospect evaluation is also progressing on slightly deeper targets targeting the proven Miocene Base Hall and Upper Puchkirchen Oligocene gas reservoirs within the same area with the goal of maturing them by the end of Q3 2025.

These may provide further multi zonal opportunities in future wells.

This article was developed in collaboration with ADX Energy, a Stockhead advertiser at the time of publishing. 

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.

Originally published as ADX Energy matures seven drill-ready Austrian shallow gas prospects