Falcon Oil & Gas has reported that the Shenandoah SS2-1H well in the Beetaloo Sub-basin in Australia’s Northern Territory, produced an average of 10.3 million cubic feet of gas per day (mcf/d) over a 20-day period (IP20) from a 2,632m horizontal section.

The company holds a 22.5% working interest in the well through its Australian subsidiary, while Tamboran B2 holds the remaining 77.5%.

During production testing, the flowing wellhead pressure decreased from 4,499 to 582 pounds per square inch (psi), with gas rates dropping from a peak of 15.9mcf/d to an exit rate of 8.8mcf/d.

The normalised flow rate over a simulated 10,000ft section reached 11.9mcf/d, which the operator compared to the performance of US shale wells with over a year of production.

Falcon Oil & Gas CEO Philip O’Quigley said: “The IP20 flow rate results announced today of 10.3mcf/d, is another positive development as we move towards commercial production. As further results become available, we look forward to updating the market.”

The IP20 result follows the completion of a stimulation programme at SS2-1H in December 2025, where the well was stimulated across 57 perforated stages within the Amungee Member B-Shale.

An obstruction in the wellbore prevented gas flow from eight stages and the toe section, covering 397.7m, leaving 49 stages across 2,632m contributing to the test.

These stages produced a cumulative total of 205.6mcf over the 20-day period, with the choke opened incrementally from 20/64in to 60/64in before remaining constant for the final 15 days.

Flow testing was intentionally curtailed to minimise flaring and carbon emissions and to maintain reservoir energy ahead of tying the well into the Sturt Plateau Compression Facility.

 The operator plans to begin stimulation at the Shenandoah South 3H, 4H, and 5H wells in the second quarter of 2026, with production and gas sales expected to start in the third quarter of 2026.

Falcon Australia has reduced its participating interest to 0% in all 2025 wells, including SS2-1H, and will not share in their costs.

Ownership of the two drilling space units for the Shenandoah South Pilot Project, which comprise 46,080 acres, is split between Falcon Oil & Gas Australia at 5% and Tamboran B2 at 95%, pending further well completions.

Tamboran B1, which wholly owns Tamboran B2, is a joint venture between Tamboran Resources and Daly Waters Energy.