Financial Data and Key Metrics Changes - The company ended the quarter with $45.2 million in cash and receivables of $26 million, including $11 million from the second tranche of a PIPE transaction and $15 million from an acreage sale [5][11] - Cash balance and receivables totaled $71.1 million, with expectations to secure a financing facility for the remaining share of the SPCF infrastructure [11] Business Line Data and Key Metrics Changes - Record flow rates were achieved from the SS2H ST1 well, with a 2% increase in rates over the last 30 days of testing without downhole intervention [2][6] - The company has commenced a farmout process for approximately 400,000 acres in the Beetaloo Basin, attracting strong interest from qualified counterparties [4] Market Data and Key Metrics Changes - The Beetaloo Basin is showing distinct characteristics compared to the Marcellus Shale, indicating lower decline rates supported by higher gas in place and total organic carbon [7] - The company is focused on securing approvals for long-term production and has received consent from native title holders to sell gas under the new beneficial use of gas legislation [4][10] Company Strategy and Development Direction - The company aims to commence gas sales from the Beetaloo Basin by mid-2026, with plans to ramp up volumes for potential long-haul transportation to Southeast markets [12][28] - The strategy includes pursuing both domestic gas sales and LNG development, with a phased approach to infrastructure development [28][29] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the unique geological characteristics of the Beetaloo Basin, which may lead to better performance than other shale wells [37][38] - The company is optimistic about the ongoing farmout process and expects to conclude it by Q1 2026, with a focus on maximizing value [26][35] Other Important Information - The company is progressing discussions with financiers to secure funding for the SPCF construction, with a focus on local sand solutions for future operations [11][67] - The board has been strengthened with the addition of experienced directors, enhancing leadership and strategic capabilities [4] Q&A Session Summary Question: Can you provide details on drill times and tool failures? - Management noted typical failures in horizontal drilling, with the best segments of recent wells achieving around 19 days, indicating potential for improvement [15][16] Question: What is the plan for the upcoming well? - The upcoming well will undergo stimulation and flow testing, with plans to shut it in for a pilot project after testing [17][18] Question: What does a successful farmout outcome look like? - Management indicated it is premature to discuss specifics but noted strong interest from various companies [26] Question: Are both domestic gas sales and LNG development still part of the strategy? - Management confirmed that both markets are still being pursued, with different timelines for each [28] Question: When can we expect to conclude the farmout process? - Management suggested Q1 2026 as a reasonable expectation for announcing the outcome of the farmout process [35] Question: What is the status of the native title holder agreement? - The agreement allows for gas sales for three years, with ongoing discussions to secure a production license [65][66] Question: Is there a plan for local sand solutions? - Management confirmed ongoing efforts to develop local sand solutions, with extensive testing being conducted [67]

Financial Data and Key Metrics Changes - The company ended the quarter with US $45.2 million in cash and receivables of US $26 million, including US $11 million from the second tranche of a PIPE transaction and US $15 million from an acreage sale [5][11] - Cash flow primarily funded the SS2H ST1 stimulation and flow testing, with expectations to receive an additional US $15 million by year-end [11] Business Line Data and Key Metrics Changes - Record flow rates were reported from the SS2H ST1 well, with a 2% increase over the last 30 days of testing without downhole intervention [2][6] - The company has commenced a farmout process for approximately 400,000 acres in the Beetaloo Basin, attracting strong interest from various qualified counterparties [4] Market Data and Key Metrics Changes - The Beetaloo Basin is showing distinct characteristics compared to the Marcellus Shale, indicating lower decline rates supported by higher gas in place and total organic carbon [7] - The company is focused on securing approvals for longer-term production and has received consent from native title holders to sell gas under new legislation [4][10] Company Strategy and Development Direction - The company aims to commence gas sales from the Beetaloo Basin by mid-2026, with plans to ramp up volumes for potential Southeast market distribution [12][30] - The strategy includes pursuing both domestic gas sales and LNG development, with a phased approach to infrastructure development [30][31] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the unique geological characteristics of the Beetaloo Basin, which may lead to better performance than other shale wells [40][41] - The company is actively working on securing financing for infrastructure projects and expects to announce further updates soon [11][62] Other Important Information - The SPCF compression and dehydration facility is on track for completion and commissioning by mid-2026, with the Stuart Plateau Pipeline expected to be completed by year-end [10][11] - The board has been strengthened with the addition of experienced directors from Pioneer Natural Resources [4] Q&A Session Summary Question: Can you provide details on drill times and tool failures? - The company has encountered typical downhole failures but has achieved drilling times as low as 19 days for the best segments of recent wells, indicating potential for improvement [15][16] Question: What is the plan for the upcoming well? - The upcoming well will undergo stimulation and flow testing, with plans to shut it in for a pilot project after testing [17][19] Question: What does a successful farmout outcome look like? - Management indicated it is premature to discuss specifics but noted strong interest from various companies in the farmout process [27] Question: Are both domestic gas sales and LNG development still priorities? - Yes, both markets are being pursued, with a focus on domestic sales first, followed by LNG development as infrastructure allows [30][31] Question: What is the timeline for the farmout process conclusion? - The best-case scenario for concluding the farmout process is around Q1 2026, but timing may vary [38] Question: What explains the unusual production behavior from the SS2H well? - Management suggested unique geological characteristics and reservoir engineering factors may explain the well's performance [40][41] Question: What factors will influence the next drilling program? - The next drilling campaign will largely depend on the farmout process and partner decisions, with plans to start after the wet season [46][47] Question: What is the status of the SPCF funding? - The company is pursuing an infrastructure debt facility and has spent about $20 million to date, with an additional $70 to $80 million needed [61] Question: What is the plan for local sand sourcing? - The company is committed to using local sand and is conducting tests to ensure quality and compliance with regulations [71][72]