Beach Energy will start flow stimulation of its Holdfast-1 shale well located in PEL 218, Cooper Basin, South Australia, in early June, followed by flow stimulation of the Encounter-1 shale well.

The flow stimulation process may take up to two weeks for each well, after which they will be flow tested in preparation for a resource booking.

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Both Holdfast-1 and Encounter-1 are data-gathering wells, and as such are not designed to flow at the same levels expected of a production well.

The design of pilot production wells will be based on information gathered from the flow stimulation of, and earlier core samples retrieved from, Holdfast-1 and Encounter-1.

The timing of these pilot production wells will be primarily driven by equipment availability, and the firm expects to start the pilot production programme early in 2012.