The agreement is a farm-in agreement under which MRA may undertake an exploration drilling program in exchange for a 95% joint venture interest covering an 840 square kilometer area within the northern boundary of GSLM's 15,035 square kilometer Special Exploration License 13/98 (SEL13/98). It is defined in the agreement that MRA may coordinate minimum exploration activities including anticipated exploration drilling of one well and may include well logging and testing to evaluate in-depth formations and reservoir structures. At the discretion of the joint venture management committee, costs associated with the planned 2006 seismic survey on GSLM's SEL13/98 may in whole or in part be covered by MRA.
Empire has plans to drill previously defined potential oil and gas reservoir structures identified from the first regional seismic survey on SEL13/98 conducted in 2001. To date, GSLM has not drilled these seismically defined targets. Mr. Bendall, President of Empire & GSLM said, "The joint venture with MRA is anticipated to coincide with the launch of the company's proposed drilling program of four wells over the next four years which we believe will quantify the extent of possible commercial quantities of potentially three billion barrels recoverable oil equivalent and gas within the Tasmania Basin."
Most Popular Articles
From the Career Center
Jobs that may interest you