Case study: Tamboran Resources

Tamboran Resources: supporting the global energy transition

Public natural gas company, Tamboran Resources, is developing Australia’s breakthrough onshore LNG project in Darwin.

Background

Tamboran plans to commence production from its low reservoir CO₂ natural gas asset in the Beetaloo Sub-basin in H1 2026, on its pathway to 2 Billion cubic feet per day (Bcf/d) by the 2030s.

In partnership with the Northern Territory Government, Tamboran will develop the project in three stages to supply a reliable gas source to the Northern Territory energy market and the Australian East Coast, while enabling LNG exports from new or existing LNG trains at the Middle Arm Precinct in Greater Darwin.

Solution

In June 2023, over 170 hectares (420 acres) was secured at the Middle Arm Precinct, allowing the company to progress a Concept Select Study and pre-FEED studies for the proposed 4 LNG train development. Bechtel was awarded the pre-FEED work.

In April 2024, a binding long-term gas sales agreement was signed to supply the Northern Territory Government with 40 TJ per day from 2026. And, in June 2024, this development was earmarked as significant to the Beetaloo Sub-basin Project and LNG export terminal at the Middle Arm Precinct.

In July 2025, Tamboran secured consent from Traditional Owners, the Northern Land Council and the Northern Territory Government to recover appraisal gas for sale from Exploration Permit 98 under the Petroleum Act 1984 (NT), paving the way for construction of the A$140 million Sturt Plateau Compression Facility.

Additionally, Tamboran’s financial position has been strengthened via a US$55 million capital raise and sale of 100,000 acreage to Daly Waters Energy, LP. (DWE) in May 2025.

In August 2025, Tamboran achieved record IP90 results of 6.7 million cubic feet per day (MMcf/d) from their Shenandoah South 2H sidetrack (SS-2H STI) well over a 5,483-foot simulated horizontal within the Mid Velkerri B Shale.

These results, combined with the SS-1H flow rates in 2024, show the significant potential of the large acreage position surrounding the Shenandoah South area, where the company is currently progressing a farm down of ~400,000 acres. The farm down acreage is expected to be developed over the coming years to supply into the anticipated shortfall emerging in the East Coast gas market.

Outcomes

Once operational, the project will be the first fully integrated onshore LNG development where upstream, midstream and downstream production are based in the Northern Territory. It will deliver energy security to the Northern Territory and Australian markets, while giving growing Asian nations a new source of LNG to displace coal and reduce greenhouse emissions.

With a lifespan of 30 to 60 years, the project is economically significant for the long-term success of the Northern Territory, including the potential of 3,300 jobs and an A$17 billion boost to the economy by 2040.

About Daly Waters Energy (DWE)

DWE is a 50% joint venture partner with Tamboran, together forming Tamboran B2 Pty Ltd.

Tamboran B2 Pty Ltd holds 77.5% of Exploration Permits (EP) 76, 98 and 117 in the Beetaloo Sub-basin, while Tamboran B2’s joint venture partner, Falcon Oil and Gas Australia Pty Ltd, holds the remaining 22.5%.

DWE is 100% owned by Formentera Australia Fund, LP, which in turn is managed by US private equity firm Formentera Partners. Mr Bryan Sheffield is the founder of Formentera Partners and has extensive experience in developing shale plays through his (former) company Parsley Energy that operated in Texas, USA.

At-a-glance