ADX Targets 8.0 BCF in Upper Austria with Welchau-1 Testing and Three New Wells
ADX Energy Ltd is gearing up to resume flow testing at its Welchau-1 well in February 2026 and plans to drill three additional shallow gas wells in Upper Austria, targeting a combined prospective resource of 8.0 BCF.
- Welchau-1 flow testing to recommence in February 2026 after workover
- Permitting for three shallow gas wells (HOCH-1, GOLD-1, SCHOEN-1) progressing, expected mid-January to mid-February
- Targeting low-risk, near-term commercial shallow gas prospects with 8.0 BCF mean prospective resource
- Experienced European drilling contractor secured for shallow gas program
- Use of stimulation techniques planned to enhance well productivity in carbonate reservoirs
ADX Energy Advances Upper Austria Shallow Gas Program
ADX Energy Ltd (ASX, ADX) has announced a significant operational update for its Upper Austria assets, outlining plans to resume flow testing at the Welchau-1 well in early 2026 and to drill up to three additional shallow gas wells. The company is targeting a cluster of low-risk, near-term commercial prospects with a mean prospective resource estimate of 8.0 billion cubic feet (BCF) of methane-rich gas.
The Welchau-1 well, which taps into fractured carbonate reservoirs in the Triassic Reifling formation, will undergo a workover and stimulation program to mitigate wellbore damage and enhance productivity. Flow testing is scheduled to recommence in February 2026 following rig mobilisation and completion of preparatory work. This step is critical for validating reservoir performance and informing subsequent development decisions.
Permitting and Drilling Plans for Three Shallow Wells
Permitting for the three planned shallow gas wells, HOCH-1, GOLD-1, and SCHOEN-1, is progressing steadily, with approvals expected by mid-January for HOCH-1 and GOLD-1, and by mid-February for SCHOEN-1. These wells are located within ADX’s ADX-AT-I and ADX-AT-II licence areas, where the company holds significant economic interests, including a 75% stake in the Welchau Investment Area.
ADX has contracted an experienced European onshore drilling contractor with extensive shallow gas drilling expertise to execute the program. The company plans to use acid stimulation techniques on the carbonate reservoirs to enhance flow rates, a method that has shown promise in similar geological settings.
Strategic Focus on Low-Risk, Commercial Shallow Gas Prospects
The shallow gas prospects targeted in this program are characterised by their proximity to existing infrastructure and relatively low exploration risk. ADX believes that successful drilling and testing could rapidly translate into commercial production, leveraging existing facilities to maximise value. The company is also employing advanced seismic and artificial intelligence analysis to refine prospect identification and optimise drilling locations.
While the prospective resource estimate of 8.0 BCF is encouraging, ADX cautions that these figures are probabilistic and subject to exploration and development risks. Further appraisal and evaluation will be necessary to confirm recoverable quantities and commercial viability.
Overall, this program represents a pivotal step in ADX’s strategy to expand its shallow gas footprint in Upper Austria, potentially unlocking a repeatable and scalable gas play that could underpin near-term production growth.
Bottom Line?
ADX’s upcoming testing and drilling campaign could be a game-changer for its Upper Austria shallow gas ambitions, but results will be key to unlocking value.
Questions in the middle?
- Will flow testing at Welchau-1 confirm reservoir productivity as expected?
- How quickly can ADX convert successful shallow gas discoveries into production?
- What impact will market gas prices have on the commercial viability of these prospects?