Beetaloo Energy Australia has reported strong operational progress during the June quarter, with construction of its Carpentaria gas plant remaining on schedule and flow testing delivering encouraging results ahead of planned first pilot gas sales later this year.

The company said construction of the Carpentaria gas plant continued to advance during the quarter, with key plant components now installed on site. The project remains on schedule and within budget for commissioning in the fourth quarter of 2026.

Flow testing at the Carpentaria-5H well commenced in June and was completed after the end of the quarter. The well achieved an average production rate of 6.9 terajoules per day over 30 days (IP30), with an exit rate of 6.7TJ/day, indicating a low rate of production decline.

Elsewhere, Beetaloo completed the Birdum Creek 2D Seismic Survey across its EP167 and EP168 permits after quarter-end. The survey covers a resource area of more than 20 trillion cubic feet and is expected to support planning for future horizontal drilling.

The company also strengthened its funding position during the quarter, completing a $5 million share purchase plan following a $66.3 million institutional placement completed in April.

Beetaloo and Territory Sands entered into long-form loan documentation to support development of the first in-basin frac sand operation, while the company drew an initial $2.5 million under its $45 million Macquarie midstream infrastructure facility after satisfying all conditions precedent.

At 30 June, total liquidity stood at $124.9 million, comprising $63.3 million in cash and $61.5 million in undrawn funding available under the Macquarie facilities.

“Together, these achievements reflect the strong operational momentum across the business,” Managing director Alex Underwood said.

“We are advancing the Carpentaria Pilot Project while continuing to unlock the broader potential of our portfolio, all while maintaining a strong balance sheet and financial flexibility.

“Encouraging performance from Carpentaria-5H has increased our confidence in the quality of the resource and our development strategy as we continue to execute the Carpentaria pilot project and create long-term value for shareholders.

“Activity across the wider Beetaloo Basin continues to accelerate as operators progress appraisal and pilot development programs, reinforcing confidence in the basin’s emergence as a strategically important new source of Australian gas supply. Beetaloo Energy is well positioned to play a leading role in that development as we advance toward first pilot gas sales.”