Georgina Energy (GEX) said Harlequin Energy has formally confirmed its intention to proceed with funding for the Hussar Exploration Permit 513 (EP513) prospect, targeting the anticipated recovery of helium, hydrogen and natural gas.
Harlequin has issued notice to proceed with funding the drilling of the Hussar-2 well and will complete site repairs to the airstrip and access roads, alongside construction of drilling pads, water wells and a camp location pad, in preparation for drilling under the Memorandum of Understanding (MOU) signed on 24 August 2024. Georgina said it has undertaken due diligence and has been provided with Harlequin’s USD$25 million structured offtake funding facility to finance the drilling programme.
Meanwhile, Harlequin has engaged Schlumberger Oilfield UK to work with Georgina’s technical consultants, Aztech Well Construction, on planning, engineering and drilling at Hussar. The drilling programme and associated infrastructure works are expected to be funded solely by Harlequin and its partners through a structured offtake arrangement, which Georgina described as non-dilutive for shareholders.
Aztech has identified four suitable rigs in Australia for the planned fifty-day drilling programme, including Ensign Rig 974, Minres Explorer Rig, Savanna SLR Rig 186 (V4) and Ventia Rig 106 Ideal Prime. Georgina’s indicative timeline targets long-lead items and rig contracting in the first quarter of 2026, site works and service-provider contracting in the second quarter of 2026, and then well design finalisation, mobilisation and drilling in the third quarter of 2026.
The company also reported a revised estimate of total 2U prospective recoverable resources of helium of 283 billion cubic feet (BCF), hydrogen of 315 BCF and hydrocarbons of 2.9 trillion cubic feet (TCF), an increase of 30%, with further details to follow.
Georgina Energy’s Chief Executive Officer Anthony Hamilton said: "Georgina has received confirmation of a USD$25 Million structured off-take funding facility to develop both Hussar and Mt Winter which along with the recently announced acquisitions from Central Petroleum presents the company with the opportunity to become a significant participant in the extraction of Helium, Hydrogen and Natural Gas."
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A third-party funded, structured offtake route is a clear positive if it holds, as it could move Hussar towards drilling without equity dilution. However, the next value markers look practical rather than promotional: contracting a rig, completing access and airstrip works, and locking in long-lead items.