Kinetiko Energy Spurs Momentum with Third Test Well Drilled in Brakfontein

Key Highlights:

• Third production test well spudded at Brakfontein with enhanced drilling protocols
• First gas flow expected by July 2025
• Aims to supply pilot LNG plant and expand 6 TCF gas resource
• Stock trades at $0.059, down 1.67%, market cap stands at $84.5M
  
   

Kinetiko Energy Ltd (ASX: KKO) is pressing forward in its mission to reshape South Africa’s energy landscape, announcing today the successful spudding of its third gas production test well—271-KA03PT10—in Brakfontein. This latest drilling milestone builds upon the company’s momentum in its five-well production test program aimed at unlocking and commercializing its 100% owned conventional gas assets.

Drilling began on May 9 and incorporates revised protocols developed in collaboration with Oilfield Technologies. These adjustments, including reduced water volume and controlled foam use, are designed to mitigate gas flow restrictions caused by water-block and foam-induced permeability losses—previously found to reduce efficiency by up to 85% .

The Brakfontein well is strategically situated near earlier high-performing wells and will contribute to a planned pilot LNG plant set to launch in 2026. First gas flow results from this well are expected before July 2025, potentially offering crucial data to further de-risk the broader resource.

Kinetiko’s current resource estimate sits at 6 TCF (2C), equivalent to a staggering 1 billion barrels of oil. The company anticipates that the new testing program will not only enhance gas recoverability from existing formations but also convert a significant portion of its 5.8 TCF of prospective resources into contingent reserves.

Today’s ASX session saw KKO shares dip slightly by 1.67% to $0.059, with modest volume at 15,000 shares traded. The stock has seen a 12-month range between $0.050 and $0.110, with its market cap standing at approximately $84.5 million.

Chairman Adam Sierakowski emphasized the strategic importance of the program, stating, “This production test program is a vital step in delivering cleaner energy to a region still heavily reliant on aging coal-fired infrastructure.”

As South Africa pushes toward cleaner, scalable power solutions, Kinetiko’s developments place it at the heart of the country’s transitional energy narrative. With robust infrastructure access and rising domestic gas demand, the company could well be poised for a significant transformation—from explorer to commercial supplier.