Discovery Energy

What Discovery Energy does

Discovery Energy Corp. (otcqb:DENR) is a publicly traded oil and gas exploration company headquartered in Houston, Texas, with an operating subsidiary (Discovery Energy SA Pty Ltd) based in Melbourne, Australia. The company's sole material asset is a 100% working interest in the PEL 512 Petroleum Exploration License, covering 584,651 gross acres (2,369 km²) on the Western Margin of the Cooper and Eromanga Basins in Central Australia — Australia's largest onshore petroleum province. PEL 512 is divided into PEL 512 West (403,000 acres), PEL 512 South (179,000 acres), and the 2,000-acre Lycium prospect, and is valid under a South Australia Government grant until 2035.

The company's core technology is conventional 3D seismic surveying to identify hydrocarbon drill targets, executed through the Nike 3D survey (completed Q4-2016) and the Adidas 3D survey (completed Q1-2023), collectively providing 583 km² of 3D coverage and 5,153 km of 2D seismic coverage over the license. Adjacent infrastructure includes the Moomba central processing plant and approximately 3,000 km of pipeline networks connecting to South Australia, New South Wales, Queensland, and Victoria markets, providing a low-cost path to commercialization contingent on a commercial discovery.

Discovery Energy is in the exploration stage with no reported revenue from 2018 through 2022. Its business model is to convert prospective resources into reserves through drilling, with future revenue intended to come from oil and gas production sold into Australian commodity markets via existing pipeline infrastructure. To date, the company has been funded primarily through convertible debenture financings — a $5.5875 million placement in May 2016 with DEC Funding, LLC (led by Houston-based investor Steven Webster) and Texican Energy Corporation, a $20 million Additional Purchase Option from DEC Funding in May 2017, and smaller periodic raises between 2012 and 2020. Leadership comprises Keith Mckenzie (CEO), Keith Spickelmier (Chairman), Mike Dahlke (President/COO), and William Begley (CFO).

Name

Discovery Energy

Legal name

Discovery Energy Inc.

Website

https://discoveryenergy.com

Company type

Public

Founded year

2012

Operating status

Operating

Headcount range

1–10 employees

Short description

Discovery Energy Corp. is a publicly traded (otcqb:DENR) oil and gas exploration company holding a 100% interest in the 2,369 km² PEL 512 license in Australia's Cooper/Eromanga Basins, currently pre-revenue and focused on identifying commercial hydrocarbon drill targets via 3D seismic surveying.

Ownership category

akta.pro rank

Product category

Upstream Oil and Gas Exploration

NAICS

Oil and Gas Extraction (211), Natural Gas Extraction (21113), Crude Petroleum Extraction (211120), Oil and Gas Extraction (2111), Geophysical Surveying and Mapping Services (541360)

SIC

Crude Petroleum & Natural Gas (1311), Oil & Gas Field Exploration Services (1382), Oil & Gas Field Services, Nec (1389)

akta.pro primary industry

Onshore Natural Gas E&P (Conventional Fields) (EUAAAAAG)

akta.pro secondary industries

Unconventional Gas E&P (Shale/Tight Gas) (EUAAAAAC), Exploration, Appraisal & Subsurface (Seismic, Geology, Reservoir Characterization) (EUAAAAAH), Seismic & Geoscience Services (Acquisition, Processing, Interpretation) (EUALABAK)

Keywords

• Oil and gas exploration
• Petroleum exploration licenses
• Upstream hydrocarbon exploration
• 3D seismic surveying
• Cooper Basin operations

Headquarters

HQ city

Houston

HQ country

United States

HQ region

North America

Offices3 records

Markets served

GTM type

B2B

Offering type

Services

Cost components

Operations, Technology or R&D, Others, Personnel, Supply Chain

Revenue model

1. Oil and Gas Exploration and Production: Discovery Energy is in the exploration stage focusing on converting its significant portfolio of prospective resources into reserves through drilling. The company engages in exploration, development, production and acquisition of conventional and unconventional natural gas, oil and energy projects. Revenue will be generated from oil and gas production once commercial discoveries are made.

Go-to-market motion1 record

Distribution channels2 records

Marketing channels5 records

Core offering

Discovery Energy engages in the exploration, development, production and acquisition of conventional and unconventional natural gas, oil and energy projects, with its primary asset being the PEL 512 Petroleum Exploration License covering 584,651 acres (2,369 km²) on the Western Margin of Australia's Cooper/Eromanga basins. The company is currently in the exploration stage, leveraging proprietary 3D seismic surveys (Nike 3D and Adidas 3D) to identify drill targets, and intends to commercialize any discoveries via existing pipeline infrastructure tied to the Moomba central processing plant.

Product overview

Discovery Energy is an oil and gas exploration and production company focused on the highly prospective Cooper and Eromanga basins in Australia. The company's primary asset is the PEL 512 Petroleum Exploration License, covering 584,651 gross acres (2,369 km2) in Central Australia, on which Discovery Energy holds 100% interest as operator. The company engages in exploration, development, production and acquisition of both conventional and unconventional natural gas and oil resources. The portfolio includes multiple blocks: PEL 512 West (403,000 acres, the largest and most westerly), PEL 512 South (179,000 acres), and the Lycium prospect (2,000 acres). Exploration activities include 3D seismic surveys such as the Nike 3D Survey (2016) and Adidas 3D Survey (2023).

Differentiator

Problem solved

Functional benefit

Products and services

• PEL 512 Petroleum Exploration License A 100%-operated petroleum exploration license covering 584,651 acres (2,369 km²) in Australia's Cooper/Eromanga basin, encompassing the Lycium prospect, PEL 512 West (403,000 acres) and PEL 512 South (179,000 acres) blocks; the company holds 100% interest as operator and targets both conventional and unconventional oil and gas resources.
• Cooper Basin Oil and Gas Exploration and Production Operations Engagement in the exploration, development, production and acquisition of conventional and unconventional natural gas, oil and energy projects across Australia's Cooper and Eromanga basins, with strategic partnerships planned with major producers in the region.
• Nike 3D Seismic Survey A 3D seismic survey completed in Q4-2016 across PEL 512, covering crew caravan, sunrise locations, line trucks and testing operations to identify drill targets on the Western Flank production trend.
• Adidas 3D Seismic Survey A 3D seismic survey conducted at PEL 512 in Q1-2023, following the Nike 3D survey, to further evaluate and refine exploration drill targets in the permit area.

Quantifiable outcome

• Exploration success rate exceeding 50% following 3D seismic acquisition
• +1 more outcomes

Named customers4 records

Segments1 record

Ideal customer profiles1 record

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature2 records

Partnerships

One partnership is on record.

• Liberty PetroleumcoreStrategic or Co-development Partner · 18 April 2012Discovery Energy signed a Purchase Agreement with Liberty Petroleum for the PEL 512 Project in April 2012. The companies subsequently completed definitive agreements in June 2012 for the PEL 512 acquisition, with Liberty Petroleum providing access to the exploration license.

Scale indicators14 records

Recent moves6 records

Expansion highlights5 records

Direct peers

• Carnarvon Petroleum: ASX-listed Australian E&P company pursuing exploration and appraisal opportunities in Australian basins. Comparable as a small-to-mid cap Australian upstream company with exploration-stage assets and infrastructure-led commercialization strategies.
• Blue Energy: ASX-listed Australian gas-focused explorer with acreage in multiple onshore basins, including Queensland. Comparable as a small-cap Australian onshore gas explorer pursuing conventional and unconventional resources with infrastructure proximity as a key value driver.
• Galilee Energy: ASX-listed Australian gas explorer with onshore acreage targeting conventional and unconventional resources. Comparable as a small-cap Australian upstream explorer with a single-asset or concentrated-asset focus similar to Discovery Energy's PEL 512-centric model.
• Beach Energy: ASX-listed Cooper Basin operator that is the closest geographic and geological peer, with Western Oil Margin discoveries directly offsetting PEL 512. Beach Energy's active drilling in the same fairway makes it the most directly comparable operator in terms of play, infrastructure access, and basin dynamics.
• Santos: Major Cooper Basin operator that owns the Moomba central processing plant and extensive pipeline network that PEL 512 would feed into. Santos is the dominant incumbent in the basin and the most relevant comparable for infrastructure access, reserve scale, and commercialization economics.
• Cooper Energy: ASX-listed Cooper and Eromanga basins operator conducting active exploration in the Western Oil Margin immediately adjacent to PEL 512. Comparable in focus on conventional and unconventional gas/oil in the same geological fairway and at a similar scale.
• Senex Energy: ASX-listed Cooper Basin operator pursuing Western Oil Margin exploration adjacent to PEL 512. Senex's recent activity in the same play and similar onshore Australian acreage focus make it a directly comparable peer for exploration strategy and asset profile.
• Central Petroleum: ASX-listed Australian onshore oil and gas explorer with a multi-asset portfolio across central Australia. Comparable as a small-to-mid cap Australian E&P focused on conventional and unconventional onshore plays, including acreage near existing infrastructure.
• Buru Energy: ASX-listed Australian oil and gas explorer focused on onshore basins. Comparable as a small-cap Australian upstream explorer pursuing exploration-stage assets with infrastructure-led commercialization strategies similar to Discovery Energy's PEL 512 approach.
• Strike Energy: ASX-listed Australian gas-focused explorer with onshore acreage pursuing commercialization into established pipeline infrastructure. Comparable in focus on conventional and unconventional onshore gas exploration and proximity-to-infrastructure commercial models.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat4 records

Key risks7 records

Key highlights6 records

Customer concentration

• LinkedInlinkedin.com/company/discovery-oil-co

Revenue estimate

Valuation estimate

Number of profiles

Profiles4 records

Subsidiaries1 record

Funding overview

Funding rounds6 records

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Discovery Energy