Extended pilot production program planned for August 2022.

Investment Memo: EXR 2022

Key Objective #1: Pilot production program at the gas project

In today’s operations update our 2019 Energy Pick of the Year Elixir Energy (ASX:EXR) also detailed what stage the extended pilot production program was at.

EXR confirmed that it has appointed experienced Mongolian contractor “Monbag LLC” to complete the civil construction works and mentioned that these works were expected to “commence shortly”.

The drilling of the first production well (of two) is expected to spud around the end of August 2022 in line with the timeframe expectations set by EXR at the start of the year.

From there, the production testing will take around 6 months, and we’ll have a better idea of the commercial flow rates of EXR’s gas project.