As a result of Woodside managing the drilling operations and meeting cost reduction targets in the drilling of the well, Woodside has the option to acquire from the existing joint venturers, in accordance with their participating interests, an interest of up to 10% in the block by paying up to 10% of the 2003 exploration costs incurred within the block, including the costs of drilling the well. The amount of the entitlement will depend on the final costs of the well.
A decision has not yet been made to exercise the option and a further announcement will be made if Woodside elects to do so.
Existing joint venture interests in Block 7 are Dana Petroleum with 80%; Hardman Resources with 18% and Roc Oil with the remaining 2%.
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