Gulf Oil and Gas accountACCOUNT

Cue Energy Farms out North West Shelf Gas Prospet to BP

Source: 10/13/2016, Location: Not categorized

Cue Energy Resources has advised that its 100% owned subsidiary, Cue Exploration, has executed agreements with BP Developments Australia for BP, subject to government approval and completion of standard due diligence, to acquire equity in the 100% Cue owned North West Shelf exploration permits WA-409-P and WA-359P in the Carnarvon basin, offshore Western Australia.

BP will acquire 80% equity and be Operator of WA-409-P and will fund 100% of the work programme required under the permit for the first three years of the licence renewal. BP also has an option through to May 2017 to acquire 42.5% equity in WA-359-P. If BP exercise this option, 50% of the cost of drilling a well in WA-359-P will be funded.

BP will assist Cue in securing a partner or partners with the credibility, funding and technical expertise to join them to drill an exploration well in WA-359-P, scheduled for the first half of 2018.

Post completion, the participants in WA-409-P will be: BP Developments Australia 80% (Operator); Cue Exploration 20%

Ironbark Prospect
Cue completed a comprehensive regional study using 15,000km2 of 3D and 2D seismic data and 17 well ties to map the Triassic intra-Mungaroo sands (as encountered at the Gorgon gas field) and identified the Ironbark Prospect, which straddles WA-359-P and WA-409-P in moderate water depths, as a drillable target.

Ironbark is a giant Mungaroo Formation prospect that is mapped with an area of up to 400km2 with a best technical estimate of 15 Trillion cubic feet (Tcf) of prospective recoverable gas resource based on an internal technical assessment performed by Cue.

Wood Mackenzie estimates that the North West Shelf LNG plant and infrastructure will have spare capacity from 2021.The Ironbark prospect is less than 50km from the North Rankin platform (North West Shelf LNG) and in close proximity to Pluto and Wheatstone LNG infrastructure, providing cost effective commercialisation options.

Cue Executive Chairman, Grant Worner, said: 'The Ironbark prospect has the potential to fundamentally alter the value of Cue. If Cue’s assessment is proven to be correct, Ironbark would be three times the size of the Scarborough, Wheatstone, or Pluto fields. Cue welcomes BP’s technical expertise and knowledge of the Carnarvon Basin through their long participation in the North West Shelf Joint Venture and we look forward to working with them to attract an Operating Partner to drill the Ironbark-1 well.

In June Cue’s new Board announced a three-part strategy for the Company of; having a sustainable business operating within its means, delivering disciplined growth, and pursuing opportunities that offer step-change returns to shareholders. Our earlier announcements of a 40% reduction in overheads and administrative costs, a multi-year extension of our gas producing assets in Indonesia, and these agreements with BP show good progress in implementing all three elements of our strategy. I look forward to providing further updates in due course.'

Acquisitions and Divestitures News in Australia >>

Indonesia >>  4/8/2020 - KrisEnergy Ltd. (“KrisEnergy”) refers to the announcements made by the Company on 29 October 2019 and 19 November 2019, in relation to the entry into ...
United Kingdom >>  4/8/2020 - Baron Oil Plc, the AIM-listed oil and gas exploration and production company, provides the following Inner Moray Firth ("IMF") update to shareholders....

Australia >>  4/7/2020 - Origin Energy has agreed with joint venture partner Falcon Oil and Gas to increase its interest in the Beetaloo Basin joint venture by 7.5 per cent in...
Liberia >>  4/7/2020 - In line with its strategy of actively managing its asset portfolio and its objective to divest 5 B$ on years 2019-2020, Total is pursuing the divestme...

Namibia >>  4/7/2020 - Global Petroleum Limited has come to an agreement to licence pre-existing 3D seismic data in its offshore Namibia Block, 2011A (PEL0094). This key dat...
New Zealand >>  4/6/2020 - One petroleum exploration permit has been granted for Block Offer 2018. The successful bid was granted to Todd Exploration Management Services Limited...

Related Categories: Accounting, Statistics  Acquisitions and Divestitures  Asset Portfolio Management  Economics/Financial Analysis  General  Industrial Development  Insurance  Investment  Mergers and Acquisitions  Risk Management 

Related Articles: Accounting, Statistics  Acquisitions and Divestitures  Asset Portfolio Management  Economics/Financial Analysis  General  Insurance  Investment  Mergers and Acquisitions  Risk Management 

Australia Oil & Gas 1 >>  2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 | 21 | 22 |

More News

Related Links

Gulf Oil and Gas
Copyright © 2020 Universal Solutions All rights reserved. - Terms of Service - Privacy Policy.