Omega Advances Taroom Trough Expansion with H&P Rig Contract

Australia’s energy sector is increasingly focused on unlocking new domestic oil and gas supply, with emerging basins like the Taroom Trough drawing significant attention. As drilling activity ramps up across the region in 2026, operators are positioning to delineate the reservoir and resource distribution that could contribute to long-term energy and liquid-fuel security.

Against this backdrop, Omega Oil and Gas (ASX:OMA) has secured a key drilling contract to support its expanded appraisal program, marking a step forward in its push to scale operations in the basin.

The agreement brings in a state-of-the-art rig and aligns with broader basin-wide momentum.

Secures Rig to Drive Continuous Drilling

Omega has executed a binding contract with Helmerich & Payne for the provision of FlexRig® 648, a high-specification land drilling rig, to support its 2026–27 Canyon Project appraisal program.

The rig contract covers three firm wells and six optional wells, enabling a mix of vertical and horizontal drilling to support its expanded drilling program.

The program is scheduled to commence in May 2026, following completion of prior wells by other operators in the basin.

Omega plans to drill at least four wells as part of the expanded campaign, including two on existing project areas and two on the recently awarded ATP 2081.

Targets Large-Scale Resource Potential

The drilling program is designed to appraise what Omega describes as a large, emerging Permian unconventional oil and gas play on the eastern flank of the Taroom Trough.

Omega Oil and Gas CEO and MD Trevor Brown highlighted the clear upside in the pending drill campaign:

We believe that our upcoming program, scheduled to commence in May 2026, will further de-risk this exciting play and demonstrate the vast scale of the Taroom Trough’s oil and gas resources.” 

Within the Canyon Project area, Omega has already booked a contingent resource of 0.4–1.7–4.5 TCFE (1C–2C–3C) across the top three of five reservoir layers.

Independent modelling has also indicated that a single reservoir layer could deliver a 10-year estimated ultimate recovery of approximately 0.95 MMBOE, or 5.72 BCF of gas equivalent, from a single horizontal well.

The broader Taroom Trough is gaining traction, with at least eight wells expected to be drilled by multiple operators across both flanks of the basin during 2026.

Builds Scale Across Strategic Acreage

Omega has established a commanding acreage position in the Taroom Trough, with exposure across 5,041 square kilometres through its project areas, newly awarded permits, and a 19.43% interest in Elixir Energy.

This footprint positions the company to benefit from drilling activity across both the eastern and western flanks of the basin.

The company also provides high confidence that favourable geologic conditions extend into ATP 2081 of reservoir continuity into newly awarded areas, supporting future drilling plans.

Maintains Funding and Operational Readiness

Omega has confirmed it is fully funded for the multi-well program, with access to approximately $54 million.

This includes funding for its share of drilling costs in ATP 2081, where it will contribute 45% while maintaining exposure to potential upside.

The use of a continuous drilling campaign is expected to deliver cost and efficiency benefits as the program progresses.

Positions for a Transformational Year

With drilling results expected from mid-2026 and updated resource assessments anticipated later in the year, Omega is positioning 2026 as a pivotal period for advancing its Taroom Trough strategy.

As activity increases across the basin, the company’s expanded drilling program and access to high-performance rig technology place it among the operators aiming to define one of Australia’s emerging unconventional resource plays.