Eastern Gas is preparing to commence an appraisal drilling campaign at its Venus coal seam gas project in the Surat basin, targeting future domestic gas supply for Australia's east coast.

Venus CSG Project and Upcoming Drilling

Subject to final operational readiness, the company plans to begin drilling next month. The A$4.9 million campaign will utilize horizontal wells in the Upper Juandah coal seams to target commercial gas flow rates. The program aims to test gas deliverability and advance the project towards reserves conversion and future development. The Venus project is located in exploration permit ATP 2051 on the Walloon CSG fairway, near existing developments connected to the Wallumbilla gas hub. It holds best estimate contingent resources of approximately 130 petajoules of gas, and the coal properties are consistent with the producing fairway, with five vertical wells previously drilled in 2020.

Strategic Context and Timeline

The project is positioned to address an expected supply tightness in the east coast domestic gas market later this decade. A subsequent reserves upgrade and certification for Venus is planned for the fourth quarter of 2026. The company is finalizing contractors for the drilling operation.

Company Background and Other Assets

Eastern Gas was recently listed on the Australian Stock Exchange following an oversubscribed initial public offering. The company also holds the unconventional Windorah project in the Cooper basin under ATP 927, which contains certified best estimate contingent resources of around 348 PJ of gas. A pipeline licence for Windorah, awarded in 2019, will enable connection to Santos' pipeline infrastructure.

Commercialisation Options

Beyond conventional gas supply, the company is exploring alternative commercialisation pathways. These options include developing a natural gas-to-hydrogen processing facility and modular liquefied natural gas infrastructure.