Bounty Oil & Gas has sold its 25% interest in L4/L5/PL6, including the Woodada Gas field in Australia, to ARC Energy Limited for $350,000.

Bounty Managing Director, Tom Fontaine said "The profitability of the field has diminished for Bounty as we continue to purchase additional gas from outside sources to meet our gas contracts. Arc is in a better position to supply that additional gas from its existing Perth Basin reserves. It also has an active exploration program underway which will hopefully prove up additional gas reserves. In this context, this deal makes a lot of sense for both companies."

The funds from this sale will be used to further Bounty's active exploration program in the offshore Perth and Bonaparte Basins, New Zealand and Tanzania.