ADX Energy provides an update regarding recommencement of testing of the carbonate reservoirs at the Welchau-1 well and preparation for drilling of the HOCH-1 shallow gas well, being the first of three shallow gas exploration wells planned during 2026.

A workover unit has been contracted and will be available to recommence testing at the Welchau-1 well in early February 2026.

Planning, permitting and contracting of services for the commencement of shallow gas prospects drilling is progressing to plan. Environmental and Mining Authority (Drilling) permitting will be in place for the HOCH and GOLD prospects by mid-January. Well site construction for the HOCH-1 well will commence immediately after finalisation of permitting in mid-January. The SCHOEN-1 well is expected to be fully permitted by mid-February.

ADX is finalising contracting of services and long lead items for the HOCH, GOLD and SCHOEN prospects. A rig has been contracted to provide drilling services for the shallow gas wells. The contractor is a highly experienced European onshore drilling company with extensive Austrian experience. The rig is optimal in terms of capacity and configuration for the shallow gas drilling program.

Welchau-1 well testing

The planned operations for Welchau-1 are to re-enter the well and continue the top Reifling reservoir formation well test. Once the workover rig is in place the well will be swabbed using wireline to reduce hydrostatic pressure and stimulate flow. It is expected that an acid stimulation will be carried out on the previously perforated Reifling formation to mitigate wellbore damage and enhance productivity in the fractured carbonate reservoir. The forward testing program after the Reifling formation test will be determined based on further analysis of results from the Steinalm and Reifling formation tests.

Shallow Gas Drilling Program

ADX holds a 100% equity interest within the new areas which include seven new low risk shallow gas prospects in addition to two existing prospects in the MND Investment Area in which each of ADX and MND have a 50% economic interest.

ADX has matured to a drillable stage a total of seven shallow (99% methane) gas prospects within the ADX-AT-I and ADX-AT-II licences in Upper Austria. These prospects are near to gas infrastructure, are low to very low risk and can be rapidly commercialised. ADX believes that successful discoveries can be developed in clusters to optimise utilisation of facilities and maximise project value.

The HOCH-1 well is the first well scheduled for drilling in the shallow gas drilling program. HOCH-1 is located in the MND Investment Area. HOCH-1 will be followed by the GOLD-1 well located in the 100% ADX held area within the ADX-AT-II exploration license.

Four shallow gas prospects within the 100% ADX held ADX-AT-I shallow gas area, offer further near-term potential in addition to the two follow up prospects in the 100% ADX held ADX-AT-II shallow gas area which are located next to the GOLD prospect (the ‘GOLD-Cluster’). Success in the initial program can be followed by a further multi well drilling program to expand this low risk but highly repeatable gas play, which ADX has generated using a combination of advanced 3D seismic analysis and AI to analyse a basin wide data set.

KeyFacts Energy: ADX Energy Austria country profile