Tamboran Assets Corp and Falcon Oil & Fuel Ltd have signed a definitive merger settlement that they stated will create a number one place of about 2.9 million web acres within the Beetaloo sub-basin onshore Australia’s Northern Territory.
Concurrently the businesses, already companions by the Beetaloo Joint Enterprise (JV), sanctioned the Shenandoah South Pilot Challenge, which has a deliberate capability of 40 million cubic ft a day. Drilling operations are progressing and the mission is on track to start out gasoline gross sales mid-2026, in keeping with the co-owners.
Sydney, Australia-based Tamboran will purchase Dublin, Eire-based Falcon by issuing about 6.54 million shares listed on the New York Inventory Trade (NYSE) to Falcon shareholders. Moreover Tamboran can pay $23.7 million in money, a joint regulatory submitting stated.
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The events anticipate to finish the mix February 2026, topic to approvals by shareholders on each side. Each firms’ boards authorised the transaction.
“On completion, Falcon will distribute Tamboran shares to eligible shareholders of Falcon at an alternate ratio of 0.00687 shares of Tamboran NYSE widespread inventory for every Falcon widespread inventory”, acknowledged the submitting with the Australian Securities Trade (ASX).
“Falcon shareholders will personal ~26.8 % of the professional forma enterprise. Tamboran stockholders will personal the remaining 73.2 %.
“The transaction values Falcon’s subsidiaries at C$239 million (US$172 million), at an implied provide worth of C$0.2154 per share. This displays a 19.7 % premium of the closing worth of Falcon on the TSX [Toronto Stock Exchange] on September 29, 2025 and a 53.2 % premium to the 90-day traded VWAP [volume-weighted average price].
“The acquisition is accretive to Tamboran stockholders given the implied acreage worth of US$169 per acre displays a 4 % low cost to Tamboran’s present implied acreage worth of US$176 per acre”.
Tamboran chair and interim chief govt Richard Stoneburner stated, “The transaction between Tamboran and Falcon is a logical consolidation of two of the Beetaloo Basin’s most lively firms”.
“The transaction may also strengthen Tamboran’s acreage place throughout the vast majority of the Beetaloo depocenter following the checkerboarding course of with DWE”, Stoneburner added.
Tamboran and Daly Waters Power LP (DWE) equally personal Tamboran (B2) Pty Ltd. Tamboran (B2) owns a 77.5 % stake within the Beetaloo JV, with the remaining 22.5 % held by Falcon.
The Beetaloo JV owns the joint acreage EPs 76, 98 and 117, which include the Shenandoah South Pilot Challenge.
The Shenandoah South Pilot Challenge sits within the joint acreage’s Northern Pilot Space, the place Tamboran is operator with a 47.5 % stake. DWE additionally owns 47.5 %. Falcon holds 5 %.
The companions plan to develop improvement within the Southern Pilot Space, the place operator DWE owns 38.75 %, Tamboran 38.75 % and Falcon 22.5 %.
The checkerboarding course of decided possession between Tamboran and DWE for Betaloo JV acreage outdoors the pilot areas, ensuing within the two events holding areas every with a 77.5 % working possession and Falcon retaining 22.5 %, Tamboran stated in as ASX submitting Could 13, 2025.
Following the acquisition of Falcon, “Tamboran may have roughly 2.9 million web potential acres throughout the Beetaloo basin, together with 22.5 % non-operating curiosity in all DWE checkers”, Stoneburner stated.
“Strategically, we consider this transaction will strengthen our possession over the Part II Improvement Space, the place we’re at present endeavor a farmout course of with RBC Capital Markets. This may enable us to promote down a bigger place to a brand new associate whereas sustaining a cloth working curiosity over acreage”.
The acquisition of Falcon will elevate Tamboran’s stake within the Part II Improvement Space from 58.13 % to 80.62 %. DWE retains 19.38 %.
Falcon chief govt Philip O’Quigley, stated, “This transaction brings Falcon’s shareholders’ pursuits within the Beetaloo on to the middle of operations and supplies our shareholders with larger publicity to all actions carried out by Tamboran”.
Individually Tamboran introduced a optimistic FID (last funding resolution) on the Shenandoah South Pilot Challenge.
“The Pilot Challenge has been designed to supply long-term manufacturing testing of a number of wells that has, alongside further useful resource delineation, the potential to sanction a large-scale improvement to the East Coast gasoline market”, it stated in an ASX submitting.
“Tamboran expects to finish the present three-well drilling program in early 4Q 2025. This might be adopted by the stimulation of the Shenandoah South 4H nicely, which is deliberate to be flow-tested over 30-days in early 2026. The remaining three wells are anticipated to be stimulated in 1H 2026 after the moist season and forward of graduation of gasoline gross sales in mid-2026”.
The Beetaloo JV companions sanctioned the mission after securing approvals from Native Title Holders and the Northern Land Council and a gasoline sale settlement with the Northern Territory authorities. The consortium additionally entered into agreements with the APA Group and the SPCF Belief for supporting infrastructure earlier than reaching a FID.
To contact the creator, e-mail jov.onsat@rigzone.com
