On 17 September 2026, Omega Oil & Gas Limited (ASX:OMA) announced that the Queensland Government has selected the Omega-led joint venture as the preferred tenderer for the PLR2026-1-10 petroleum land release area in the Taroom Trough, southern Queensland. The area covers 1,138 square kilometres.

The award

The joint venture comprises Omega (45% and operator), Tri-Star E&P Ltd (30%) and Beach Energy Limited (25%). The award followed a competitive tender under the State’s 2026 Petroleum and Gas Land Release Program. Omega said the tenure grant remains subject to completion of the Queensland Government’s processes.

The area adjoins Omega’s 100%-owned PCA 343 and the southern portion of its Canyon PCA area. Omega said it lifts its operated acreage by 63%, from 1,809 square kilometres to 2,947 square kilometres.

Geology and prospectivity described

Omega interprets the new area as containing the continuation of the eastern flank fairway and an extension of the six stacked Permian reservoir intervals identified across its existing acreage, plus additional play types. It said the acreage sits within the over-pressured section of the basin, where elevated reservoir pressures are expected to support improved well deliverability.

Appraisal campaign update

Omega’s 2026/27 appraisal campaign continues on schedule, with the Canyon-4 vertical well progressing toward the primary Canyon Sandstone interval. The campaign comprises four vertical wells and one or two horizontal wells, is described as fully funded, and Omega retains flexibility to exercise further rig contract options. The announcement also refers to the Queensland Government’s Taroom Trough Development Plan.

Sector backdrop

The Taroom Trough is an unconventional oil and gas Basin in Queensland, and companies are appraising Permian reservoirs in the area. State land release programs award exploration tenure through competitive tenders, with work program commitments.

Appraisal results, rather than acreage size, determine how much of an area becomes commercially developable.

Risks shareholders should weigh

The award is a preferred tenderer selection and not a granted tenure. The release states that the grant is subject to completion of Government processes.

The new acreage is unexplored by the joint venture, and its prospectivity is based on interpretation of the adjacent acreage. Appraisal results at Canyon-4 are not yet available. Unconventional development requires significant capital, and Omega’s share of costs is 45% under the joint venture.

Land access, permitting, environmental approvals and gas market conditions affect timing. The campaign relies on rig availability, and the release does not give a development timetable or cost commitments for the new area.

What’s next

After formal acceptance of the new acreage, Omega and its partners will begin permitting and land access and plan the timing and sequencing of appraisal work. The Canyon-4 well continues toward the Canyon Sandstone. Shareholders may wish to watch for formal tenure grant, Canyon-4 results and further wells in the 2026/27 campaign.