Following the acquisition, Austin farmed-out a 50% stake in the permit to Adelaide Energy, which will also take over as permit operator.
Austin's managing director David Schuette said Adelaide Energy was working with a geologist and geophysicist to evaluate all available data and select a location for the first well in PEL 105.
"We have been working diligently over the last 10 months to get this arrangement completed," he said.
"Under this licence, Austin and Adelaide Energy will acquire 150 square kilometres of 3D seismic data and drill one well within the next year and three additional wells by year-end of 2009."
Covering 437sq.km square kilometres, PEL 105 has five gas fields with some oil discovered. Eleven exploration wells have also been drilled here.
Most of the block has "good to excellent" seismic coverage that has identified large structures and numerous unconformities that could suggest the presence oil and gas accumulations.
The permit is 60km north of the Moomba processing plant. About Austin Exploration Limited Austin Exploration (Austin) is an oil and gas exploration company with a balanced portfolio of hydrocarbon prospects in Australia and the United States. Austin's business model is to develop a portfolio of hydrocarbon assets with a balance of low-risk prospects combined with a prudent mix of high risk, higher return opportunities based on its capital availability. Utilising its technical competence and extensive industry network, Austin seeks to identify suitable risk profile prospects, conduct an evaluation and then identify suitable farm-in partners. Austin is listed on the Australian Securities Exchange (ASX code: AKK).
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