Empire Energy has been awarded three grants worth up to $21 million (Aus.) by the Australian government under its Beetaloo Cooperative Drilling Program announced earlier this year.
The grants will provide support for new exploration wells in Empire’s 100%-owned EP187 exploration permit in the Northern Territory Beetaloo basin.
The funds will offset 25% of eligible expenditure which may include additional seismic acquisition, the drilling of up to three horizontal wells in 2021 and 2022, fracture stimulation, and completion of the wells along with flow testing. The first horizontal appraisal well is expected to spud in this year’s fourth quarter.
The government program provides for $50 million of funding towards exploration activity carried out in the basin by end 2022. The maximum grant under the program is $7.5 million per well, capped at 25% of the cost of each well and three wells per venture. Related support activities, such as seismic acquisition and flow testing, are eligible under the program.
Empire Energy is the first company to receive approvals under the scheme.
