New Zealand Oil & Gas Ltd. signed a binding farm-in agreement with Triangle Energy (Global) Ltd., Perth, to acquire a 25% interest in onshore license L7 and permit EP 437 in the North Perth basin of Western Australia for $9.96 million (Aus).
The deal includes NZOG payments of:
- $1.9 million (Aus.) towards Bookara 3D seismic data.
- $3.75 million (Aus.) of the estimated $7.5 million (Aus.) cost of the first L7 well.
- $2.81 million (Aus.) of the estimated $7.5 million (Aus.) cost of second L7 well.
- $1.5 million (Aus.) of the estimated $3 million (Aus.) cost of an EP 437 well.
Triangle completed a farm-out agreement with Talon Energy Ltd. earlier this month. Talon is to acquire a 25% interest in the same two permits. L7 is the production licence for Mount Horner oil field. EP 437 comprises the surrounding exploration permit.
Triangle retains 50% interest with NZOG and Talon now holding 25% each of L7 and EP437.
Triangle has acquired the Bookara 3D seismic data run across both permits to evaluate new leads and prospects. The joint venture will study the data to determine preliminary resource estimates and likely exploration well locations for a drilling program to begin in first-half 2024.
