Walyering

The Walyering gas field sits in Production Licence L23 and is surrounded by Exploration Licence EP 447 which are operated and owned 100% by Strike Energy. The field is situated approximately 150 km north of Perth near the town of Cataby in the Mid West.

Walyering is our low-cost, fast to market, maiden gas project that transformed Strike from explorer to producer.

The Walyering gas field was originally discovered in 1971 when the Walyering 1 well found 40m of low-quality Net Pay over the Jurassic aged Cadda
and Cattamarra Coal Measures (CCM), which flowed at ~8 MMscf per day. Walyering 2 and 3 were drilled shortly after and found tight gas with marginal flow rates and were subsequently abandoned. The field was brought online through Walyering 1 and produced ~0.3 Bcf before being
shut in. Strike acquired the acreage in 2019 (through its acquisition of UIL Energy Limited) and shot 90 km² of 3D seismic over the Walyering structure.
Our subsequent interpretation suggested the original Walyering wells had not been optimally located and Strike went onto drilling the Walyering 5 and 6 wells in 2021/22. Both wells were successful across several intervals and flowed at rates of 78 MMscf and 35 MMscf per day respectively

Development

In 2022 Strike sanctioned the Walyering Gas Project, just 9 months from its announced discovery, demonstrating the development speed of the low-cost Jurassic wet-gas play. The facility was designed with sustainability at the forefront and is powered 100% by solar and battery, making the Scope 1 emissions modelled as some of the lowest for domestic gas in Western Australia.

The Walyering gas is being delivered into two firm gas supply agreements:

1) with Santos WA Energy Limited to supply a total of 36.5 PJ of gas on a firm basis for a period of 5 years. The contract covers firm take or pay volumes as well as ‘as available’ gas supply, which provides flexibility to the joint venture as the field ramps up towards maximum production. The agreement is US-dollar denominated and escalated at US consumer price inflation.

2) with Alinta Energy WA Pty Ltd to supply a total of 3.4 PJ of gas on a firm basis for a period of ~2 years.

Exploration & Appraisal

Strike has completed the reprocessing of the Walyering 3D seismic which has substantially improved the resolution of the field and nearby prospects. Strike is incorporating the new seismic along with the historical production data to conduct a Reserves and Resources review with RISC, which it expects to complete in the coming months post the drilling of the Walyering-7 appraisal well.