Latest news with #ADXEnergy
The Australian
6 days ago
- Business
- The Australian
Auctus maintains ADX 30c price target
Special Report: UK-based equity markets advisory Auctus Advisors has maintained its 30c price target for ADX Energy following its exit from the June 2025 quarter with higher than expected production of 303 barrels of oil equivalent per day. Auctus maintains 30c price target as ADX exceeds production targets for Q4 FY2025 Key price short term catalyst is the expected drilling of low-risk, shallow gas targets in Upper Austria Potential large upside potential from Welchau-1 and award of Sicily Channel permit could provide further boosts This boosted revenue despite lower oil prices in June with the company flagging that it generated $3.5m in adjusted sales (including a net payment for sales during the period), an increase of 26%. Auctus said its price target, which is well above ADX Energy's (ASX:ADX) current price of ~2.9c, remained unchanged pending further updates relating to the suspended Welchau-1 test program. It remains keen on the company's planned low-risk, shallow gas drilling targeting the GOLD cluster in Upper Austria that collectively hosts 12.1 billion cubic feet of prospective gas resources. While each target in this cluster hosts relatively modest quantities of gas, they are considered to have very low geological risks and could deliver production of between 10 million and 15 million cubic feet of gas per day based on observations of nearby wells. These wells can also be brought into production quickly due to the GOLD cluster's proximity to nearby open access pipeline infrastructure, meaning that successful discoveries can make a difference to the company's bottom line without delay or fuss. ADX is searching for a farm-out partner that will help de-risk drilling and help fund costs ahead of starting drilling in late Q4 2025 or early Q1 2026. 'Our aggregate unrisked NAV for ADX's net interest (assuming a 50% working interest farm-out) in the shallow prospects is 11c per share,' Auctus noted. Listen: Ian Tchacos chats with Peter Strachan In a previous instalment of the Rock Yarns Podcast, host Peter Strachan spoke with ADX executive chairman Ian Tchacos to discuss how the company is ramping up production in Austria, attracting renewed investor interest in Europe, and advancing its shallow gas and offshore exploration plans. Oil boost Besides the gas drilling, ADX is also maturing additional, low-risk oil exploration and appraisal opportunities near the producing Anshof oil field in Austria. Further wells will help the company fill its Anshof permanent production facility, which is capable of processing up to 3000 barrels of oil per day. A further catalyst is the upcoming final award of Sicily Channel gas exploration permit offshore Italy, which Auctus expects to occur sometime this month. It expects the permit to become a new area of focus for ADX with large gas prospects identified on 2D seismic and historical wells which targeted deeper oil but had gas shows on the way down. Auctus also notes that ADX had $4.8m in cash at the end of June, which includes just two months of sales. Adding the payment of ~$700,000 for the third month that was received on July 1 suggests an adjusted cash position that's in line with its expectations. This article was developed in collaboration with ADX Energy, a Stockhead advertiser at the time of publishing. This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
The Australian
7 days ago
- Business
- The Australian
Rock Yarns: ADX Energy
Stock analysis veteran and lover of the resources game, Peter Strachan is back for another instalment of the Rock Yarns podcast. In this episode, Peter chats with Ian Tchacos, executive chairman of European-focused gas producer and explorer, ADX Energy (ASX:ADX). ADX is exploring shallow gas prospects in Austria's Vienna Basin, where it is the most active operator. Using advanced seismic, the company has identified seven near-term drill targets in areas previously overlooked. The initial program plans to drill three low-cost wells located close to existing pipelines. ADX is also advancing exploration offshore Sicily, targeting shallow gas and oil near existing infrastructure. Tune into this episode to hear what the company has been up to. This podcast was developed in collaboration with ADX Energy, a Stockhead advertiser at the time of publishing. The interviews and discussions in this podcast are opinions only and not financial or investment advice. Listeners should obtain independent advice based on their own circumstances before making any financial decisions.
The Australian
04-08-2025
- Business
- The Australian
ADX pumps up oil and gas production
ADX boosts June quarter oil and gas production by 23% over previous quarter to 303 boepd Results delivered a 4% growth in revenue to $2.6m despite falling oil prices from 2 months of sales instead of 3 months. Including the 3 months of sales, revenue was $3.5 million, growth was 26% Company plans drilling up to three wells, low risk shallow gas wells in early 2026 in Upper Austria Special Report: ADX Energy's oil and gas production in the June quarter 2025 was up 23%, with quarter sales revenue increasing by 26% to $3.5 million despite a drop in oil price. The 23% increase in oil and gas volumes – to 303 barrels of oil equivalent per day (boepd) – was due to a 25% increase in Vienna Basin oil production and 47% increase in gas production. ADX Energy's (ASX:ADX) Vienna Basin fields delivered average production of 238 boepd during the quarter compared to 190 boepd in the previous quarter following a well workover program completed during the March quarter. This comprised five well interventions to repair subsurface equipment failures, clean out of a down hole sand control installation and the perforation of a new oil production zone in a well. Meanwhile, the Anshof-3 and Anshof-2A wells contributed 66 barrels of oil per day, up from 56 bpd in the previous quarter due to the purchase of Xstate Resources' 20% stake. 'During the past quarter, ADX has focused on near term production gains and low risk, as well as rapid commercialisation opportunities for gas and oil within our Upper Austria portfolio,' executive chairman Ian Tchacos said. 'We have substantially increased production and sales revenues despite weakening oil and gas pricing though a 23% increase in production.' During the quarter, the company submitted an anti-mafia clearance as a final licence granting requirement for its Sicily Channel gas exploration permit offshore Italy. Anshof-3 and Ansho-2A wells. Pic: ADX Energy Current and upcoming activities ADX continues to progress its low-risk, shallow gas portfolio in Upper Austria with Tchacos saying that it is expected to translate into a multi well drilling program in early 2026. Initial drilling will test the high value and low risk GOLD gas prospect in the recently varied ADX-AT-II licence which is on trend with historic shallow gas discoveries. At the Anshof licence, the company aims to further increase production through the 3000bpd capacity Anshof permanent production facility by carrying out nearfield appraisal and exploration drilling. 'A number of appraisal and exploration opportunities are being high-graded for drilling with land acquisition already completed for the SGB prospect which lies directly to the north of the Anshof field,' Tchacos added. Watch more from ADX: Europe's energy dilemma – balancing renewables with oil and gas The company is also continuing to progress its promising Welchau-1 well. 'While the interruption to Welchau-1 testing has been frustrating, we expect to be able to resume testing upon the objections to Environmental Clearances being resolved by the State Administrative Court of Upper Austria,' Tchacos said. 'Despite these setbacks, we believe the Welchau Exploration Area has the potential to yield a substantial oil or gas discovery based on our ongoing studies and analysis of data recovered from the well. 'Work during the quarter has resulted in the maturation of the Welchau Deep prospect which may be reached by deepening Welchau1, as well as the Rossberg follow up prospect to the north of Welchau.' ADX expects to be formally granted the Sicily permit in the coming quarter, which will enable it to undertake further resource assessment including an independent audit, due to the availability of high quality seismic and an historic well data base used previously for deeper oil exploration. It has also installed a CO 2 removal unit at its Vienna Basin field, allowing it to meet the CO 2 gas specifications for the grid operator Netz NÖ without the need for blending with other producers in the system. This provides greater commercial independence for the company's Vienna Basin gas and its potential to further increase gas production from the fields in the future. This article was developed in collaboration with ADX Energy, a Stockhead advertiser at the time of publishing. This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
West Australian
01-08-2025
- Business
- West Australian
ADX bags $2.6M in quarterly sales as Austrian oil-gas output lifts 23%
ADX Energy has clocked a 23 per cent surge in production for the three months to June from its Austrian oil and gas operations. The company has also flicked the switch on a gas-fuelled exploration blitz by launching plans for a multi-well, shallow drilling program in Upper Austria that could open the cash flow gates. The ASX-listed explorer says total output lifted to 303 barrels of oil equivalent per day (BOEPD) for the past three months, up substantially from 246BOEPD in the March quarter. Despite oil prices sliding 10 per cent for the period, the company was still able to eke out a 4 per cent improvement in revenue to €1.56 million (A$2.76 million). Much of the production growth came from the company's Vienna Basin operations, which averaged 238BOEPD, up from 190BOEPD. The improved performance came after a five-well workover program lifted oil and gas production by 25 per cent and 47 per cent, respectively. The program to repair subsurface equipment and clean up holes was completed in March. ADX also used the quarter to supercharge its gas credentials by hooking up a new carbon dioxide removal unit at its Vienna Basin operations, allowing it to meet strict CO₂ specs for grid operator Netz NÖ without relying on third-party blending. The company says the move has boosted its commercial independence and could pave the way for even greater gas production down the track. In the company's Upper Austrian leases, the Anshof-3 and Anshof-2A wells continued to perform, contributing 66 barrels of oil a day during the quarter compared to 56 barrels in the previous quarter. Notably, the revenue line at the Anshof fields has benefited more from ADX's increased stake in the leases after ex-partner Xstate Resources relinquished its 20 per cent stake in exchange for forgiveness of €547,075 (A$971,000) in unpaid cash calls. The move gave ADX 70 per cent of the broader production area and helped solidify its control of the nearby 3000-barrel-per-day capacity permanent production facility. Directly north of the Anshof field, ADX has been busy locking up land covering two new prospects – dubbed Lind and SGB – seen as excellent appraisal and exploration opportunities. The company says that if these prospects eventually deliver the goods, production could be easily tied back into the processing plant at minimal cost. At the same time, ADX has matured three new drill-ready shallow gas prospects in its ADX-AT-II licence area, including the GOLD prospect, which is on track to spud in late 2025 or early 2026. The company says the GOLD, GRAB and ZAUN prospects offer combined mean prospective resources of 13 billion cubic feet (Bcf) and are near key gas infrastructure, boosting their development economics. The trio of prospects form the first cluster of a broader campaign across seven shallow gas targets estimated to hold a total mean prospective resource of 29Bcf. A farmout process is already under way to support a multi-well drilling program. Meanwhile, the company is gearing up to resume testing at its Welchau-1 oil discovery, pending court resolution of environmental objections. Ongoing work during the quarter defined two new follow-up leads – the deeper Welchau target and the Rossberg prospect to the north. ADX is also preparing to firm up its new offshore Sicily Channel gas acreage. The final anti-corruption compliance hurdle has been cleared and the permit is now expected to be formally granted in the third quarter. Results from historic wells and earlier seismic surveys from the Italian leases have pointed to the potential for sweet gas reservoirs and new data acquisition is being planned. In addition to ramping up near-term production growth, ADX is also eyeing a transition to renewables. It has matured a solar project in the Vienna Basin with 5.4 megawatts capacity and is assessing hydrogen storage options in depleted fields. With growing production, drill-ready gas targets and new acreage in play, ADX is well placed to tap rising European demand for clean, local energy sources. Is your ASX-listed company doing something interesting? Contact:
West Australian
20-06-2025
- Business
- West Australian
ADX gears up for multi-well gas push in Upper Austria
ADX Energy is poised to spark a new energy chapter in gas-hungry Europe after the company locked and loaded seven shallow gas drill targets with a combined mean prospective net resource of 29 billion cubic feet (Bcf) of gas in Upper Austria's Molasse Basin. The play has been planned as a low-risk, low-cost exploration program. The total net resource estimate for all targets ranges from 12.1Bcf as a low-ball guesstimate and to 49.4Bcf at the upper end. The company expects to kick off a multi-well campaign across its fully owned Austrian exploration ADX-AT-I and ADX-AT-II licences as early as the fourth quarter of this year. Permitting, rig contracting, and land access negotiations have begun. Land for two wells is already secured. ADX has identified seven drill-ready prospects and is actively maturing a further four. Of the seven, five sit within the proven Hall Formation, which is a prolific Miocene-age sandstone reservoir that has already delivered more than 230Bcf of cumulative production across 83 fields in the region. ADX's shallow gas initiative was first announced to the market two years ago and has been developed using local know-how combined with the sharp eyes of world-class stratigraphic trap specialists. It sits close to existing pipeline infrastructure. Armed with cutting-edge seismic technology, ADX deployed advanced 3D imaging techniques to pinpoint gas-charged sweet spots hiding in permeable reservoirs. The targets also bear striking similarities to the seismic signatures of proven gas fields already producing across the basin. ADX sees the GOLD cluster targets as the crown jewels in its exploration portfolio. The company's 100 per cent-owned AT-II licence includes three shallow Hall Formation prospects – dubbed GOLD, GRAB and ZAUN – and holds a combined mean resource estimate of 13Bcf, with geological chances of success ranging from 55 per cent to a massive 81 per cent. The GOLD-1 well will be the first cab off the rank and will target two high-confidence gas sands, GOLD A and C, which the company thinks have the highest chances of success at 77 per cent and 81 per cent, respectively. The GOLD wells will be drilled to depths of just 700 metres to 850m using slim-hole designs and mobile carrier rigs, which should enable cost-effective drilling and an uber quick turnaround of as little as nine days per well. ADX says it plans to link any discoveries into cluster developments, tying multiple wells into centralised production hubs to cut capital and running costs and boost output. A dedicated processing facility has already been mapped out, drawing on an initial design capacity of 140,000 cubic metres per day, expandable to 280,000 cubic metres/day for the full cluster development. Beyond the GOLD cluster, the company is targeting two additional prospects, PIC and STEY, also in the ADX-AT-II licence area, which have a mean prospective estimated gas resource of 8.1Bcf and paydirt probabilities of 75 per cent and 68 per cent, respectively. The final two prospects, HOCH and SCHOE, sit in the ADX-AT-1 licence area 50 kilometres to the west of the GOLD cluster and are held in a 50:50 joint venture with industrial giant MND Austria. Although these targets are estimated to hold the biggest combined net mean resource of all the prospects at 14.4Bcf, their probability of coming in is lower at 62 per cent and 51 per cent, respectively. ADX, meanwhile, has opened its data room to farm-in partners, promoting the prospects as a fast-track pathway to gas production in a first-world jurisdiction with existing infrastructure and an underexplored resource base. The company says several groups have already expressed interest, with deals potentially timed to line up with the company's forecast drilling dates. As the company finalises its permits and hones its drill plans, ADX looks well-positioned to convert its shallow gas play into a significant revenue stream exactly when Europe needs it most. Is your ASX-listed company doing something interesting? Contact:
