H3 Energy Ltd. has reported strong industry interest in its dual farm-out initiatives, advancing discussions with global energy companies for its key assets in South Australia and Western Australia.
The company confirmed that farm-out processes for the Alinya Project in the Officer Basin and the Warro Project in the Perth Basin are progressing well, with several third parties executing confidentiality agreements to evaluate technical data rooms.
At the Alinya Project in South Australia, farm-out advisor LAB Energy Advisors is managing active evaluations with multiple global participants.
The large-scale, multi-commodity project targets prospective resources of up to 4.3 trillion cubic feet (Tcf) of natural gas and 1.3 billion barrels of liquids.
The Rickerscote Prospect within Alinya also holds an estimated upside of up to 1.2 billion kilograms of natural hydrogen and 209 billion cubic feet of helium.
Meanwhile, at the Warro gas asset in Western Australia, four confidentiality agreements have been executed. Prospective farm-in parties have completed initial technical evaluations and have been invited to submit commercial proposals.
H3 Energy is also working alongside the Western Australian Department of Mines, Petroleum and Exploration to ensure appropriate tenure and environmental approvals are aligned for future development.
H3 Energy CEO Nik Sykiotis welcomed the momentum across both transaction streams following the company’s capital raise earlier in the year.
“Work has significantly accelerated since the April capital raising. We are pleased with the progress being made across both farm-out processes,” Sykiotis said.
“At Alinya, momentum continues to build as additional parties enter the process, while the level of engagement at Warro has enabled multiple participants to undertake detailed evaluations of the asset.
“Although these processes take time and outcomes remain uncertain, we are encouraged by the quality of discussions underway and believe both assets are attracting interest consistent with their technical potential and strategic value.”
