Join our daily newsletter At The Bell to receive exclusive market insights
Strike Energy (ASX:STX) has announced its receipt of a full production licence for West Erregulla.
The WA department of mines and energy awarded the permission overnight; Strike now points to a de-risking of the project.
“Strike’s flagship asset will be a timely and major source of new gas in WA, which will produce well into the 2040s,” Strike chief Stuart Nicholls said.
“Receiving Production Licence L25 further de-risks the path for the development of the West Erregulla gas field.”
It’s the latest news to come from the WA-based gas explorer which shows, perhaps, a shifting of momentum after some troubled years.
The company won EPA approval for West Erregulla last month; at the time, AGIG were also awarded a pipeline licence to port gas off-site to customers.
Not that long ago, Strike shares sunk when it drilled a duster elsewhere. The company’s returns remain in the red YoY.
However, in other operations earlier this month, the company reported a successful flow test at its 100% owned Walyering-7 not long after it inked a contract with Clarke Energy that sees the latter producing 20 gas turbine engines for a power plant at South Erregulla.
STX last traded at 18.5cps.
-1200x645-380x200.jpg)
