Origin now intends start fracking the deep well as part of its continued search for onshore gas in the Beetaloo shales.

Santos has also temporarily paused its exploration work.

Energy explorers are greatly encouraged by the support promised by the Federal Government last week to fast track development of the Beetaloo resource.

Work was temporarily paused in March this year in response to COVID-19 and to protect the health and safety of NT communities.

Origin's Kyalla 117 was the first well to be drilled since the moratorium was lifted to explore for shale gas in the Beetaloo.

The Kyalla well, successfully drilled in January, will now be fracture stimulated followed by a period of production testing over the coming months.

Initial results from this are expected by the end of the year, with full results in the first quarter of 2021.

By the end of November, Origin had successfully drilled the vertical shaft almost two kilometres deep into the Beetaloo, finding a 900 metre gas-rich layer of shale as they did.

After completing the vertical shaft, the success of fracking is being able to drill sideways from that main shaft, to drill a long horizontal shaft the width of a dinner plate.

It is this drill hole which is fracked, to open up the fractures in the shale to release the gas.

The company struck trouble with Kyalla in January when the first horizontal hole has to be plugged after the hit "operational challenges".

Origin wanted to drill the horizontal well between one to two kilometres in length but struck trouble after 700 metres.

Origin general manager for Beetaloo and Growth Assets, Tracey Boyes, said, "Origin is pleased to be resuming exploration activity in line with the NT's strict regulations to protect the environment and groundwater.

"We have a robust COVID management plan and additional controls in place so we can continue to safely carry out our work.

"Our Beetaloo project is already creating local jobs and opportunities and if successful, has the potential to deliver long term economic benefits for the Northern Territory and Australia," Ms Boyes said.

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