Financial Data and Key Metrics Changes - At the end of 2025, the company had a cash balance of $91 million and drawn debt of $16 million related to the construction of the Sturt Plateau compression facility [7][16] - The company received $32 million from a PIPE transaction in January 2026 and expects an additional $15 million from an acreage sale to DWE [7][16] Business Line Data and Key Metrics Changes - The second quarter of fiscal 2026 saw the completion of the largest stimulation program in the Beetaloo Basin, achieving 58 stages across a 10,009-foot horizontal section [4][12] - Construction of the Sturt Plateau compression facility was approximately 80% complete at the end of January 2026, remaining on budget and on track for first gas in the third quarter of 2026 [5][14] Market Data and Key Metrics Changes - The Beetaloo Basin is connected to three attractive gas markets: the NT local gas market, the Australian East Coast gas network, and the Asia LNG market, which is the largest growing demand center for gas globally [9] - The company is nearing production, which will provide local energy supply and royalties to native title holders and the Northern Territory government [9] Company Strategy and Development Direction - The company aims to focus on drilling great gas wells in the Beetaloo Basin, leveraging the expertise of its management team and partners [56][57] - Plans include stimulating three remaining wells to achieve a plateau rate of 40 million cubic feet per day ahead of initial gas sales [6][11] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the support from local stakeholders, including the government and native title holders, emphasizing the economic benefits of gas development [71][73] - The company is focused on learning from every data point and improving operational efficiency to enhance production outcomes [22][70] Other Important Information - The company is progressing the farm-out process but did not provide specific details due to commercial sensitivity [6][37] - The acquisition of subsidiaries from Falcon Oil and Gas is nearing completion, which will consolidate the company's interests in the Beetaloo Basin [10] Q&A Session Summary Question: Todd's background and its relevance to Tamboran - Todd discussed his experience in remote operations and the importance of working with local stakeholders, emphasizing the need to drill great wells in the Beetaloo [21][23] Question: Changes in resource or well location assessment - Todd clarified that there was no change in strategy and that the focus remains on the Mid-Velkerri B Shale [25] Question: Soak period decision for the 6H well - Todd explained that the soak period was extended to 60 days for consistency with previous wells, aiming to minimize variables in data collection [35] Question: Expansion of the Sturt Plateau compression and pipeline - Todd indicated that there is a market for gas sales and that the pipeline is designed to support expansion up to 100 million cubic feet per day [46] Question: Local sand solution testing - Todd mentioned that lab results for local sand look promising, and they plan to test it in upcoming wells [51] Question: Operational cadence for maintaining production - Todd stated that the focus is on the pilot project, and specific timing for production growth will be assessed as operations progress [52] Question: Stakeholder support and government relations - Todd highlighted strong support from local stakeholders and the government, emphasizing the benefits of gas development for the community [71][73]
Tamboran Resources Corporation(TBN) - 2026 Q2 - Earnings Call Transcript