Australian gas explorer announces drill campaign on three initial Austrian targets
ASX-listed ADX Energy has started drilling at its 50%-owned Hochfeld-1 shallow gas exploration well in Austria, marking the start of what could be a transformational chapter for the company.
Hochfeld-1 has a Mean Prospective Resource potential of eight-billion cubic feet and a high case of 17.3-million cubic feet.
Analogous wells in the same Miocene Hall-type formation in nearby areas have recorded initial production rates of up to nine-million standard cubic feet a day, which is similar to 1 500 barrels of oil equivalent per day and underscores the reservoir quality being targeted.
“The chance of success is considered to be high, supported by analogous nearby wells that have demonstrated the reservoir’s productivity. Hochfeld—1 is expected to reach its total measured depth of 1 430 m within 14 days, making this a rapid turnaround catalyst for investors.
“A successful well will be cased and suspended for production testing to determine reserves potential,” ADX states.
The Hochfeld-1 prospect is the first of three shallow gas targets that ADX has garnered drilling approval for in 2026, and with up to ten prospects identified across ADX’s Austrian licences, the company is executing a systematic campaign to unlock what the company believes is a highly productive gas system right in the heart of Europe.
At current European gas prices, an eight-billion cubic feet discovery at Hochfeld-1 can generate more than €120-million in gross revenue. Additionally, ADX confirms that the prospect is close to open access pipeline infrastructure – just two kilometres from the drill site – which adds to its economic appeal.
ADX concludes that its focused, low-cost shallow gas campaign in one of Europe’s most infrastructure-rich energy environments, coupled with high gas prices, could result in a defining period for the company’s valuation.
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