Key Highlights

  • Energetica Consulting engaged for independent resource reporting across the company's Surat Basin licences, including the Major Gas Field
  • Emu Apple oil field interventions show signs of improved performance following condensate backwash, ahead of a scheduled acid wash and production restart
  • A Later Development Plan for Riverslea Field production reinstatement has been lodged and is pending approval from the Queensland Department of Natural Resources
  • Updated Showgrounds Formation mapping in the Major Gas Field highlights new potential infill targets near Major-4 and a prospective oil leg in PL 512

Australian Oil Company Limited (ASX:AOK) has provided the market with an update on the progression of its Phase 1 development initiatives across the Surat Oil Basin in Queensland. The announcement, dated 13 July 2026, outlines ongoing field interventions at the Emu Apple oil field, the lodgement of a development plan for the Riverslea Field, and updated geological mapping across the company's Major Gas Field licence.

Emu Apple Oil Field Interventions

The company reports ongoing work at the Emu Apple oil field within petroleum lease PL 264, focused on restoring and improving productivity. Following a condensate backwash performed on the Emu Apple-1 well, fluid level monitoring has indicated signs of improved productivity. An acid wash procedure is scheduled for completion this week, after which the company intends to reinstate production, subject to the results of that procedure.

Alongside the well intervention program, Energetica Consulting has been engaged to undertake an independent assessment of resources across the company's Surat Basin licences, integrating airborne electromagnetic, geochemical and seismic data across the Emu Apple field. The company said this work is directed at strengthening the resource case and gathering technical data that may inform future well interventions or infill drilling potential.

Riverslea Field Development Plan

Within petroleum lease PL 30, covering the Riverslea and Yapunyah fields, the company has lodged a Later Development Plan to reinstate the Riverslea Field into production on a free-flow basis. The plan is currently awaiting approval from the Queensland Department of Natural Resources. In anticipation of a potential restart, the company said it will obtain additional wellhead samples from the Riverslea-3 well this week, which it describes as critical to underpinning ongoing discussions for crude sales agreements.

The company said these steps are intended to position it to mobilise quickly once the required regulatory approvals are granted. Separately, studies are progressing to assess the installation of artificial lift at both Riverslea and Emu Apple once the current initiatives have materially progressed.

Greater Riverslea Exploration

Exploration activities in the Greater Riverslea area continue to focus on high-grading drilling prospects, building on recent geological assessments that integrate geochemical anomalies with 3D seismic data. Energetica has commenced mapping of the Showgrounds level prospects using 3D seismic, along with potential new plays such as basement wash plays that the company said have not previously been the target of focused exploration.

Major Gas Field Resource Mapping

In petroleum lease PL 512, covering the Major Gas Field, the company announced the engagement of Energetica to deliver independent resource estimates, with particular emphasis on this licence. Updated geological mapping of the P10 case in the Showgrounds Formation has revealed upside potential, including infill well targets located up-dip of the existing Major-4 well. The mapping also indicates the possible presence of an oil leg within the Showgrounds Formation interval in PL 512, although the company said further data collection will be required to confirm the resource potential of this interval.

The company said finalisation of resource reporting for the Major Gas Field is pending final review and the integration of any commercial terms associated with reinstating the field back into production.

Strategic Focus

Management commentary in the announcement frames the current period of activity across the Major Gas Field and the pending Riverslea restart as a platform for the company's broader Surat Basin strategy, which centres on expanding production, maturing exploration upside, and reinforcing the resource base of its licences through third-party certification. The company also noted that it remains disciplined in evaluating potential new ventures that complement its core Surat Basin operations, without disclosing further detail on any specific opportunities under consideration.

Company Structure and Asset Base

Australian Oil Company describes itself as an Australian-based energy company focused on under-explored oil and gas opportunities located near under-supplied markets. Its primary operating focus is on conventional oil and gas exploration and production within the Surat Basin in Queensland, comprising the Emu Apple, Riverslea, Yapunyah and Major Gas Field assets referenced in this announcement. The company also holds a portfolio of natural gas and oil producing wells in California, and has stated that it continues to evaluate the potential acquisition of additional producing and exploration assets aligned with its strategic objectives.

As at the date of the announcement, the company had 1,946,776,434 shares on issue, together with a range of unlisted options exercisable at prices between $0.004 and $0.045, with expiry dates extending out to April 2029.

Conclusion

The update outlines a period of parallel activity for Australian Oil Company across its Surat Basin acreage, spanning near-term well interventions at Emu Apple, a pending regulatory approval for the Riverslea restart, and resource mapping work at the Major Gas Field being carried out through Energetica Consulting. Several of the initiatives described, including the Riverslea Later Development Plan and the finalisation of resource estimates at the Major Gas Field, remain contingent on regulatory approvals and further technical work, meaning the timing of any associated production or reporting outcomes will depend on how these processes progress.