Highlights

  • Amplitude Energy reported FY26 group production of 27.6 petajoules equivalent and sales Revenue of A$285.8 million.
  • Orbost Gas Processing Plant averaged 73.2 terajoules a day in FY26, improving operational performance compared with previous years.
  • The company’s next major catalyst is the Juliet-1 exploration well in the offshore Otway Basin.
  • Growth plans include the East Coast Supply Project and development opportunities across the Otway Basin.

A gas plant that spent years falling short of its design capacity has just delivered Amplitude Energy (ASX:AEL) its best production year on record, and investor attention has shifted towards the company’s upcoming drilling catalysts. In its June-quarter report, released in mid-July, the Adelaide-based producer said group production reached 27.6 petajoules equivalent in FY26 and sales revenue rose 7% to A$285.8 million. The Orbost Gas Processing Plant in eastern Victoria averaged 73.2 terajoules a day across the year and touched a peak of 74.7 TJ/day in July 2026. The key focus for the market remains the company’s drilling program, with two exploration wells previously missing targets and Juliet-1 emerging as the next major event.

Company and market context

Amplitude Energy, known as Cooper Energy until November 2024, sells gas into the east coast domestic market rather than into LNG export chains. Its production sits in two clusters. In the Gippsland Basin, gas from the Sole field is processed at the Orbost plant near the Victorian coast, a Facility whose sulphur-removal problems dominated the company's story for years. In the Otway Basin, the offshore Casino, Henry and Netherby fields, about 30 kilometres off Port Campbell, feed the wholly controlled Athena Gas Plant, commissioned in FY22. It also holds smaller Cooper Basin interests in South Australia.

Amplitude Energy is a mid-tier domestic supplier in a market where southeastern Australia's legacy fields are declining and new supply is limited. Owning its processing infrastructure is central to the development strategy, because spare capacity at Athena provides a pathway for future Otway Basin discoveries.

The latest catalyst

The Transocean Equinox semi-submersible arrived to drill Juliet-1, with the well expected to spud in late July or early August 2026. Annie-2, a development well, follows. A decision on a further exploration target, Nestor, is expected once Juliet is finished.

That sequence matters because the two wells before it disappointed. Elanora-1 reached a total depth of 1,857 metres on 10 February 2026, ahead of schedule, but the primary Waarre A target at 1,766 metres was interpreted as water-bearing. The rig then sidetracked into the Isabella prospect in the same permit, VIC/L24. Isabella did find gas, intersecting roughly 11 metres of gross pay in the Waarre C, and flowed at a surface-constrained peak of 60 million standard cubic feet a day. On 25 March 2026, however, Amplitude reported that pressure depletion recorded during the test did not support commercial development at that location, and the well was plugged and abandoned. Chief executive Jane Norman pointed to the field's reservoir complexity. The market reaction highlighted investor sensitivity around exploration outcomes.

The company has been building the development side in parallel. In May 2026 it received production licence VIC/L37 over the Annie field, a 2019 discovery with about 65 PJ of gross 2C resources. Later that month it agreed to acquire a 50% interest in the VIC/L35 licence containing the Artisan gas field from Beach Energy for A$58.3 million in net upfront cash, with joint venture partner O.G. Energy taking a further 10% to sit level at 50%. Amplitude becomes operator on completion. The Artisan development well has since been completed with a successful flow test.

What the numbers show

For FY26, ended 30 June 2026, Amplitude reported group production of 27.6 PJe and sales revenue of A$285.8 million, a 7% increase, at an average realised gas price of A$10.35 a gigajoule, up 4%. The Orbost plant's FY26 average of 73.2 TJ/day compares with 47.1 TJ/day in May 2023, an improvement of about 65%, and downtime in the sulphur removal system fell from 390 hours in FY23 to 128 hours in FY26.

The December 2025 quarter set the interim records that preceded the full-year result: production of 7.03 PJe and revenue of A$71.6 million, with net Debt cut to A$34.2 million and cash of roughly A$81 million after Operating Cash Flow and an Equity raising. The Artisan Acquisition carries a production Royalty to Beach of A$3.75 a gigajoule in nominal terms on Amplitude's share, capped at 31 PJ net, or 62 PJ gross, running to 30 June 2036.

Why investors are watching

The Investment case rests on a producing asset base that has improved operationally and a pipeline of potential growth projects. Orbost operating consistently above 70 TJ/day reduces previous operational concerns around the facility, while existing contracts with major utilities provide visibility across the revenue profile.

The second component is the East Coast Supply Project. Front-end engineering design on the subsea development has concluded, and the company has described the project as capable of lifting output from roughly 75 TJ/day towards about 120 TJ/day, with first gas targeted for 2028 through existing pipelines and the Athena plant. Market commentary following the Isabella result highlighted continued focus on exploration outcomes and development execution.

What could drive the next move

The Juliet-1 result is the near-term event, followed by Annie-2 and a possible Nestor well. A final investment decision on the East Coast Supply Project has been signalled for the first quarter of FY27, having been deferred pending the current drilling program. FY26 full-year results are another key milestone, alongside completion of the Artisan transaction, which remains conditional on the development well, the ECSP FID and regulatory approvals.

Risks

The exploration record remains the key risk. Amplitude went nought-for-two on its ECSP exploration wells in early 2026, with future drilling outcomes expected to influence the broader growth outlook. A further unsuccessful exploration result could increase reliance on Annie and Artisan volumes to support future production growth.

Concentration is a second issue: a single plant at Orbost contributes a large share of group output, and its previous downtime history remains a consideration. Execution and cost risks apply to a subsea development being progressed in a tight services environment. Funding requirements are another factor, given the A$58.3 million Artisan acquisition, future ECSP Capital requirements, and previous equity raising activity.

Outlook

Amplitude enters FY27 with its producing Assets operating at improved levels compared with previous years while its future growth pathway remains dependent on upcoming drilling outcomes and project decisions. The key questions for the market are whether Juliet-1 changes the resource outlook and whether the board progresses the East Coast Supply Project within the previously indicated timeline. Both developments are expected to provide further clarity on the company’s medium-term production profile.