Elixir intersects 50 metres of coal at Yangir-1

2 minute read

By Trevor Hoey. Published at Jun 23, 2021, in Energy

In what could trigger another solid share price rally, Elixir Energy Limited (ASX:EXR) has reported very thick total coals in the West Yangir-1 well.

This news was released within a broader operational update on the current exploration/appraisal program underway across Elixir’s 100% owned Nomgon IX Coal Bed Methane (CBM) Production Sharing Contract (PSC).

The West Yangir-1 core-hole, located some 8 kilometres to the west from the previous Yangir wells, has intersected 48 metres of coal (as measured from core by well-site geologists) to the current depth of 350 metres.

Mechanical issues and down-hole conditions have made for difficult drilling and the well’s total depth has been truncated to the 350 metres reached to date.

The Manlai-1S exploration well, located in the far North-West of the PSC, encountered mechanical issues during drilling and did not reach its target depth.

The Top Diamond LLC rig has now moved to a new sub-basin in the PSC, and it has recently commenced the drilling of a new exploration well called Kingston-1S.

The well has already encountered coals, a promising development particularly from a broader perspective given management will be drilling numerous wells in the coming months.

Discussing the success at Yangir-1 and the medium to long-term exploration program, managing director Neil Young said, “The very thick total coals measured in the West Yangir-1 well have been highly encouraging, as has the discovery of coals in the drilling to date in the new Kingston location.

"Our ongoing program for 2021 (and the years thereafter) has many more wells to come and is still being vigorously prosecuted, notwithstanding the global pandemic.

"Mongolia’s resilience in dealing with the varying challenges that COVID has thrown up is to be commended.”

Expanded seismic program to generate new drilling targets

Elixir’s 2021 2D seismic acquisition program has now concluded its originally planned 220 kilometres phase.

Processing and interpretation are underway and the aim is to generate new drilling exploration targets to be pursued in the months and years to come.

An expansion of the seismic program is currently being planned.

Mongolia’s COVID experience has entered a new phase in the last month, with high transmission rates being measured in recent weeks.

However, vaccination rates have been globally high and in recent times the transmission rate has started to fall.

Elixir’s field operations have managed to successfully work within the relevant COVID rules.

View Our Investment Portfolios

S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.

Conflict of Interest Notice

S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.

Publishers Notice

The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.

Australian ASX Small Cap stocks | Why Finfeed.com is Australia’s leading small cap publication

Founded seven years ago, Finfeed.com is Australia’s leading and longest standing website for investor and finance news, education and expert opinion.

Published by StocksDigital, Finfeed was created to report daily on the comings and goings of ASX listed stocks in the small cap market.

As the first digital publication dedicated specifically to this space, Finfeed soon became the most trusted publication in the market, quickly garnering over two million page views – a number that continues to rise.

Finfeed.com provides its readers with informative articles that tackle the latest in market moving #ASX small cap news, plus exclusive content you won’t find anywhere else. It is aimed at those with an interest in investing, market education, company performance, start-ups and much more.

Finfeed.com is the only media organisation operating under the strength of a Financial Services License and is backed by leading journalists and analysts all with brands of their own.

The website aims to inform, educate and entertain with content that drills down into the heart of financial matters.

Finfeed is a leading source of investor and market information, with everything investors need to know about how to invest written in a way that anyone can understand. 

Over the years, the website has expanded beyond exclusively reporting on small caps, to profile Australia’s leading ASX listed small, mid and large caps as well as some of the country’s most successful CEOs and business leaders to find out what makes them tick.

Every day you will find fresh content covering:

Fast Facts

Over 4,000 articles published

Over 2.3 Million Page Views and counting

Over 10,000 followers on social media

Subscriber list growing by 2% monthly

Thanks for subscribing!