MEO Australia has signed an option agreement with an unnamed international exploration firm to farm out stakes in any of its three permits.

The deal includes WA-488-P, AC/P50 and AC/P51 permits, offshore Australia.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

The agreement will see the firm take 30% interest in WA-488-P, which contains the Beehive prospect, and fund 30% of future spending on the permit.

The firm may also take a further 10% stake, which would cover the costs of a 3D seismic survey on the Beehive prospect.

"MEO’s strategy is to farm down its northern Australia permits in order to participate in the drilling of quality prospects at minimal cost."

It also includes an additional 40% interest to cover drilling costs on the proposed Beehive-1 well, leaving MEO with 20% participating interest.

See Also:

On AC/P51, containing the Ramble On prospect, or AC/P50, the farminee could acquire 30% interest, funding 30% of investment, on condition that the permit renewal process starts in the first quarter of 2015.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

The farminee is presently performing the technical assessment of AC/P50 and AC/P51.

MEO MD and & CEO Peter Stickland said: "MEO’s strategy is to farm down its northern Australia permits in order to participate in the drilling of quality prospects at minimal cost to MEO.

"While the agreement to farmout 30% of WA-488-P is conditional, it is an important first step. If the farmout is completed and the included provisions are utilised, MEO will have achieved its objective of a fully carry through a Beehive-1 well for its residual 20% participating interest.

"Separately MEO continues to engage with a number of other parties who are evaluating WA-488-P and additional parties can be accommodated in the Permit by the current agreement."