ADX Energy is powering ahead in Upper Austria, with the drill bit at its HOCH-1 gas well now at 950 metres and closing in on a planned total depth of about 1430 metres.

The hole is being drilled to deliver a near-term read on a shallow gas prize of up to 17.3 billion cubic feet (Bcf) of gas.

Spudded in mid-April, HOCH-1 has now cleared all key construction stages and is drilling ahead in a 6 1/8 inch hole, following the successful setting of casing and installation of blowout preventers. Early mud losses in a loose gravel zone were swiftly contained with a revised casing program, keeping momentum intact.

The well is zeroing in on a structurally supported stratigraphic trap, combining a three-way dip closure with a pinch-out seal and lit up by class 3 amplitude versus offset (AVO) anomalies, often a direct signal of gas. Seismic also points to potential reservoir connectivity, opening the door to a single well accessing a larger gas volume, with follow-up drilling able to unlock further upside if required.

The target is the Miocene Hall Formation, a proven package of basin-floor submarine-channel sandstones, with the main reservoir at about 1075 metres true vertical depth. Though typically thin, the units are laterally extensive and consistently gas charged, with nearby analogue wells flowing at up to 9 million cubic feet per day, or about 1,500 barrels of oil equivalent, underscoring the punch these shallow reservoirs can pack.

The prospect carries a mean prospective resource of 8.0Bcf and a high case of 17.3Bcf, delivering meaningful upside from a relatively modest depth.

Drilling is expected to reach total depth within the next few days, followed by wireline logging to assess reservoir quality and hydrocarbon presence. Success would see the well cased and suspended for production testing, a critical step towards converting volumes into reserves.

If successful, HOCH-1 has the potential to deliver approximately 750 BOEPD of additional net gas production to ADX based on nearby analogous reservoirs.

HOCH-1 is first cab off the rank in ADX’s 2026 Upper Austria shallow gas drilling campaign, with GOLD and SCHOE queued up to follow, each a technically independent trap with no read-through on outcome. The program is collectively targeting a multi-billion-cubic-foot shallow gas prize.

ADX’s program has been built for staged growth, linking shallow traps through shared infrastructure to create a compact, scalable footprint with a simple tie-in structure and quick cash flow in mind.

With a pipeline tie-in just two kilometres away, HOCH could act as the natural anchor for a cluster-style development. SCHOE and other mapped, yet-to-be-drilled prospects within the same licence are primed for shared processing. The planned GOLD well in a neighbouring licence could slot in as a satellite-style addition, potentially feeding into the same low-cost, fast-cycle development model if it comes up trumps.

If successful, HOCH-1 could emerge as the first in a suite of plug-and-play gas opportunities to drive rapid production growth in Upper Austria, with ADX funding its planned scale-up through a steady cash flow from its Vienna Basin and Anshof operations.

Alongside the targeted shallow gas, the company’s deeper-running Welchau project, adds additional scale through a much larger oil and gas system that could further lift the company’s Austrian production profile.

Macro tailwinds are building, with Europe’s push for secure domestic energy and constrained liquefied natural gas markets supporting firm prices and boosting the appeal of fast-track gas.

Ongoing limits to LNG supply and policy shifts away from Russian imports have further ratcheted up the supply squeeze, lifting the strategic value of near-field discoveries, particularly those with a quick turnaround and close to existing infrastructure.

With the bit nearing its mark and the data window about to swing open, HOCH-1 is shaping as a defining test of both geology and strategy. If the sands deliver, ADX may be on the cusp of building a repeatable, revenue-ready gas growth story in the heart of Europe.

Is your ASX-listed company doing something interesting? Contact: matt.birney@wanews.com.au