Omega Oil and Gas is gearing up to start work next week on a program expected to prove a major step towards unlocking the commercial potential of its Canyon project in the Taroom Trough.

The company said all equipment and personnel had commenced mobilisation to site for the Canyon-1H fracture stimulation and flowback project.

Rig-up and equipment commissioning has commenced for the program.

It has an estimated duration of five to seven days, followed by a flow test running for about 30 days.

Related: Test results build confidence at Omega’s Canyon site

“Preparations are proceeding smoothly, positioning us to commence fracture stimulation operations on March 2,” Omega chief executive officer and managing director Trevor Brown said.

“Commencement of this program is a big moment for Omega. It is a culmination of years of careful planning, rigorous analysis, and commitment from our team and investors.

“The clear objective of this test is to demonstrate potentially commercial flow rates from the Canyon sandstone.

“A successful test will be a major step toward our broader strategic objectives of enhancing shareholder value and contributing meaningfully to the energy security of Eastern Australia by unlocking the substantial potential of the Canyon project.”

Omega Oil and Gas acquired the ATP 2037 and 2038 permit areas as part of its purchase of Cypress Petroleum from Tag Oil in 2020.

The company stands alongside operators including Shell and Elixir in conducting gas exploration and appraisal campaigns within the Taroom Trough, located in the southern Bowen Basin.

It describes the Taroom Trough as containing vast volumes of gas trapped within relatively deep, low-permeability reservoirs.

The company completed a $7 million capital raise last monh, drawing significant backing from the billionaire Flannery family.

Image at top of page: Equipment arriving onsite from Halliburton for the Canyon-1H fracture stimulation and flowback project.

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