Here’s why the Strike Energy (ASX:STX) share price isn’t cooking with gas today

Here’s what is going on with Strike Energy on Friday.

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A person wrapped in warm clothing with head, eyes and face covered by a hat, glasses and a scarf is coated in a layer of snow and ice. representing Strike Energy's trading halt today

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Strike Energy Ltd (ASX: STX) shares aren’t sparking up on Friday — instead, they’ve been plunged into a trading halt.

The oil and gas explorer and developer has frozen its shares as it prepares to make an announcement regarding its Walyering-5 well.

Right now, the Strike Energy share price is sitting at 15 cents.

Let’s take a closer look at what’s going on with the company on Friday.

Strike Energy share price freezes on Friday

The Strike Energy share price might be in for a wild ride as the company flags its planning to release drilling results from the Walyering-5 well.

The well is part of the Walyering wet-gas discovery, located in the Perth Basin. The discovery is owned by Strike Energy and Talon Energy Ltd (ASX: TPD), with the former holding a 55% interest.

Currently, appraisal drilling operations are underway at the well.

If another update is forthcoming, it will mark the third time in a fortnight that the company has released news on the operations.

On Monday, it announced the drilling had reached a final depth of 3,435 metres.

The operations are designed to test the updip potential of the Walyering wet-gas discovery, and hopefully restart the field’s development.

The company stated it has observed indications of the presence of gas at the well while drilling.

Strike Energy shares will recommence trading when the company releases its next announcement, or when the ASX opens on Tuesday, whichever comes sooner.

Understandably, investors are hoping for good news about the project, particularly as Strike has had a rough trot lately.

The Strike Energy share price has tumbled 16% over the past 30 days. It is also 48% lower than it was at the start of 2021.

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Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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