Echelon Resources Spuds Northern Territory Appraisal Well

MT Newswires Live

07/27

Echelon Resources (ASX:ECH) said the Palm Valley 14 appraisal well in the Northern Territory was spudded by Ensign Rig 974 on July 25, according to a Monday Australian bourse filing.

A two-well drilling program is expected to run for around 4.5 months, and the wells are expected to return field production to the processing facility's capacity of around 14 terrajoules per day.

Gas will be sold to the Northern Territory government under a gas supply agreement. Central Petroleum is the operator of the Palm Valley permit with a 50% stake, Echelon Palm Valley holds a 35% stake, and Cue Palm Valley holds a 15% interest.

Its shares fell 2% in recent trading on Monday.

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