MEO moves step closer to getting Heron aloft
MEO Australia has accepted a conditional offer from an unnamed preferred “farminee” for its NT/P68 Timor Sea permit which contains the potential 5 trillion cubic feet Heron gas discovery.
The company, which launched a farm-out of its Heron discovery last October, said negotiations were underway to convert the offer from the preferred farminee into binding agreements that will only be subject to Australian regulatory approvals.
However, MEO noted that while it was confident the transaction would be finalised, it could not guarantee the outcome or timing of completion of the transaction.
The company currently holds 100% of the 5900 square kilometre NT/P68 permit, which contains both the Heron and Blackwood gas discoveries.
MEO has offered up to 50% equity in the permit, including the Heron discovery, and will retain a 100% interest in the Blackwood discovery.
Last year the company said the potential partner would help it drill two appraisal wells, one on the Heron North structure and the other on the Heron South structure, to determine whether Greater Heron hosts a gas resource big enough to underpin a liquefied natural gas development.
MEO has already secured environmental approvals and completed the preliminary design for an LNG development at Tassie Shoal just 75 kilometres away.
Tuesday, 15 March 2011
EnergyNewsPremium.net
The company, which launched a farm-out of its Heron discovery last October, said negotiations were underway to convert the offer from the preferred farminee into binding agreements that will only be subject to Australian regulatory approvals.
However, MEO noted that while it was confident the transaction would be finalised, it could not guarantee the outcome or timing of completion of the transaction.
The company currently holds 100% of the 5900 square kilometre NT/P68 permit, which contains both the Heron and Blackwood gas discoveries.
MEO has offered up to 50% equity in the permit, including the Heron discovery, and will retain a 100% interest in the Blackwood discovery.
Last year the company said the potential partner would help it drill two appraisal wells, one on the Heron North structure and the other on the Heron South structure, to determine whether Greater Heron hosts a gas resource big enough to underpin a liquefied natural gas development.
MEO has already secured environmental approvals and completed the preliminary design for an LNG development at Tassie Shoal just 75 kilometres away.
Tuesday, 15 March 2011
EnergyNewsPremium.net
posted by SEAAOC @ 9:00 AM
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