Red Sky Energy Starts Drilling Willowie 2 Appraisal Well at Innamincka
Key Takeaways
- Red Sky Energy spudded Willowie 2 at 4:30am on 19 October 2026, with rig release planned for the last week of October, so a result could land within weeks.
- Willowie 2 is a directional appraisal well targeting the Patchawarra Formation to a planned 2,688 metres measured depth, with the Tirrawarra Sandstone as a secondary objective.
- Red Sky's 20% share of the approximately A$8.7 million well cost is about A$1.75 million, and the company states it is funded for its share of the current program.
- The well sits up-dip of Willowie 1, near Santos infrastructure connecting to Moomba, which the company says shortens time to first production if successful.
- Willowie 2 is the third well of the 2026 program, following Yarrow 4 and Yarrow 5, which both intersected gas pay in September 2026.
Willowie 2 drilling commences at Innamincka
Red Sky Energy (ASX: ROG) has spudded, meaning started drilling, the Willowie 2 appraisal well within PRL 18 at Innamincka, at 4:30am on Monday 19 October 2026. The well is the next test in the company’s 2026 drilling campaign.
Red Sky holds a 20% working interest, and all wells are operated by Santos (ASX:STO). The rig is planned to be released in the last week of October 2026, subject to operational conditions, and timing estimates are subject to change.
For investors, a short drilling window means the well’s outcome could be known within weeks rather than months. No results have been disclosed yet.
Andrew Knox, Managing Director
“Willowie 2 is the first well in this year’s program outside the Yarrow field and the one with the most to add if it works. It sits up-dip of Willowie 1, closer to the infrastructure Yarrow already produces through, so a good result has a short path to sales gas…”
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Willowie 2 well details and targets
Well design and objectives
Willowie 2 is a directional well, one drilled at an angle rather than straight down, with a planned total depth of 2,688 metres measured depth (2,687 metres true vertical depth). The primary objective is the Patchawarra Formation, with the Tirrawarra Sandstone as a secondary objective.
The well is appraising gas up-dip of Willowie 1, within the same structural trend as the producing Yarrow field. Rig 184 was released from Bookabourdie 13 on 15 October 2026 and moved approximately 50 kilometres to the Willowie 2 location.
Cost and funding
Drilling follows Red Sky’s execution of a binding Authority for Expenditure (AFE) with Santos (refer to the ASX Announcement dated 13 April 2026). The AFE covers drilling, stimulation, completion and connection of the well to existing Santos-operated infrastructure.
| Item | Gross | Red Sky 20% share |
|---|---|---|
| Estimated well cost | Approximately A$8.7 million | Approximately A$1.75 million |
Red Sky states it is funded for its share of the current program.
Appraisal gas explained: why up-dip and infrastructure matter
An appraisal well tests the extent and quality of a known gas discovery. “Up-dip” means a higher position on the same geological structure.
Stimulation is the work done to help gas flow from the rock, and completion is the process of preparing a well for production. The announcement says Willowie 2, if successful, will be stimulated, completed and tied into existing Santos-operated infrastructure.
Proximity matters because Santos operates established gas-gathering, pipeline and processing infrastructure that connects directly to the Moomba facility, which the company says reduces well development costs and time to first production. No results, flow rates or reserves have been disclosed for Willowie 2.
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2026 Innamincka program and next steps
Willowie 2 is the third well of the 2026 Innamincka drilling program. Here is where the program stands:
- Yarrow 4 and Yarrow 5 (PRL 17): both reached total depth in September 2026, intersected gas pay, and have been cased and suspended as future producers ahead of stimulation.
- Yarrow 1 and Yarrow 3: currently producing gas and liquids into the Santos-operated gathering system.
- Willowie 2: drilling now, with the rig release planned in the last week of October 2026.
If successful, Willowie 2 is expected to be stimulated once the current drilling and re-entry work is complete, subject to operator scheduling (refer to the ASX Announcement dated 28 September 2026).
Red Sky holds a 20% working interest across six PRLs (14, 17, 18, 180, 181 and 182) within the Santos-operated Innamincka Dome Joint Venture. The company says it will update the market on any significant events and on further operational milestones as they are reached.
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