Image source: Shutterstock

Highlights

  • Tamboran completes acreage alignment with Daly Waters Energy and secures US$15M through asset sale.

  • US$55.4M PIPE placement boosts funding for three-well drilling program starting mid-2025.

  • Company retains 1.9 million net acres in Beetaloo Basin and aims for first gas by mid-2026.

Tamboran Resources Corporation (ASX:TBN) has announced the completion of a major acreage realignment in the Beetaloo Basin, Northern Territory, while simultaneously raising significant capital to accelerate its gas development strategy in the region.

As part of a strategic “checkerboard agreement” with Daly Waters Energy, LP (DWE), the two companies have aligned their joint interests across exploration permits EP 76, EP 98, and EP 117. Under the terms of the agreement, DWE will acquire a non-operating, non-controlling stake in 100,000 acres for a total consideration of US$15 million.

Following the transaction, Tamboran will retain control of approximately 1.9 million net prospective and development-ready acres in the basin. Within this, it will hold a 58.12% operated interest in the designated Phase 2 Development Area.

To complement the asset deal, Tamboran has also secured US$55.4 million through a Private Investment in Public Equity (PIPE) placement. The company issued 3.1 million shares of common stock to institutional investors, priced at a 15% discount to recent market levels. The first tranche of US$44.4 million is set to close on May 16, while the remaining US$11 million is subject to shareholder approval.

Funds from the PIPE raise and asset sale will be used to support the company’s Shenandoah South Pilot Project, where Tamboran plans to drill and complete three new wells. The drilling campaign is expected to begin in mid-2025, with continuous operations extending through the end of the year. These wells are anticipated to contribute to appraisal gas production of approximately 40 million cubic feet per day (MMcf/d) by mid-2026, when the company targets initial gas flows.

In parallel, flow testing has commenced on the SS-2H ST1 well, which had been soaking since mid-March 2025. The company plans to progressively report performance data from the 30-, 60-, and 90-day intervals, starting with the IP30 flow rate results expected in June 2025.

With the latest acreage and funding developments, Tamboran enhances its operating position across the Beetaloo Basin. Post-deal, the company will hold a 77.5% operated interest across the former EP 76, EP 98, and EP 117 permits, alongside 100% ownership of EP 136, consolidating its control over key unconventional gas assets in Northern Australia.