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Lakes Blue Energy NL (ASX:LKO)

ALERT: Price-sensitive ASX Announcement for LKO
Current share price for LKO : $0.470 -0.01 (-2.08%)+
Announcement
Release
2 Jul 2026 10:02AM
Price at Release
$0.480
Full Release
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Summary
Lakes Blue Energy NL has engaged in preliminary discussions with Victorian Government departments about the potential role of the Wombat Gas Project in enhancing Victoria's energy security and supporting infrastructure development. The Wombat Gas Project, expected to commence production in Q1 2029, is anticipated to provide significant contributions to the domestic gas supply, align with AI and data infrastructure objectives, and support regional development. The project anticipates an NPV10 of approximately A$605 million and an internal rate of return of 58%. Major risks include securing regulatory approvals and financing, with initial development costs estimated at A$169 million. Key assumptions include the successful remediation of Wombat-5 and timely infrastructure access, with projected peak production rates of up to 55 TJ/day.
Key Points
  • Wombat Project targets first gas production by Q1 2029.
  • NPV10 is estimated at A$605 million with a 58% internal rate of return.
  • Lakes holds a 100% working interest in PRL 2 containing the Wombat field.
  • Production life is modeled for approximately 17 years.
  • Initial development capital requirement is A$169 million.
  • Risks include securing regulatory approvals and financing.
  • Potential to contribute significantly to Victoria's energy and infrastructure needs.
  • Discussion with Victorian Government remains preliminary.
IMPORTANT NOTE: This information is autogenerated and has not been reviewed for accuracy or completeness. You should refer to the full announcement here for further information.