ASX energy share Elixir Energy Ltd (ASX: EXR) is charging higher today.
Again.
Elixir shares closed trading yesterday for 8.5 cents. In early afternoon trade on Tuesday, shares are changing hands for 8.7 cents apiece, up 2.4%.
For some context, the S&P/ASX Small Ordinaries Index (ASX: XSO) is up 0.1% at this same time.
Today's outperformance is par for the course for this junior ASX energy share.
Indeed, one year ago, on 24 March 2024, you could have picked up shares at an intraday low of 2.7 cents each.
Meaning you'd be sitting on eye-popping gains of 222.2% today. Or enough to turn an $8,000 investment into $25,778.
In one year.
And according to the investment team at Euroz Hartleys, Elixir Energy shares are well-positioned to more than double in value again.
Here's why.
Image source: Getty Images
ASX energy share drills into excellent prospect
Last Monday, 16 March, Elixir reported the final drilling results from its Lorelle-3H appraisal well, located in Queensland's Taroom Trough.
The ASX energy share closed up 7.1% on the day, with Elixir Energy CEO Stuart Nicholls noting, "The Lorelle-3 appraisal campaign has delivered an exceptional result for the company."
And Euroz Hartleys analyst Declan Bonnick agrees.
According to Bonnick:
EXR announced excellent results from the Lorelle-3 horizontal well (ATP 2056: 50% EXR, 50% STO) in the Taroom Trough, onshore Queensland. The well achieved >1km targeted length and intersected average porosity of 11.2%, with peaks up to 18%, materially exceeding our expectations and approaching conventional reservoir quality. The well has now been cased and suspended ahead of a planned frac/flow test program in Q2CY26.
And Elixir could be sitting on a gusher, judging by the outcome achieved to date by Shell PLC (NYSE: SHEL) on a nearby tenement.
Bonnick noted:
The Lorelle-3 results represent a key de-risking milestone in demonstrating the commerciality of EXR's Taroom Trough acreage. The upcoming 30-day multi-stage frac and flow test (targeting >5 MMscf/d) through Q2CY26 will be a critical step in confirming commercial deliverability.
The program mirrors the approach taken by neighbouring Supermajor Shell, which is progressing development directly on trend and is understood to have achieved commercial flow rates from the same reservoir.
What's the price target for Elixir shares?
Connecting the dots, Euroz Hartleys maintained its speculative buy rating for the junior ASX energy share.
Following last week's drill results, the broker increased its price target for Elixir Energy to 19 cents a share. That represents further upside potential of more than 118% from current levels.
