BMG Project Participants File Defense in Australian Court

Reference is made to the Stock Exchange Release made on February 20, 2009 by ROC on behalf of its subsidiary, Anzon Australia Pty Limited ("AZA") in relation to a notice of a claim served on the participants in the BMG Project by BW Offshore ("BW") in the Federal Court of Australia. The notice of claim sought recovery of costs by BW relating to the termination of third party vendor contracts entered into by BW. These third party contracts related to performance of initial activities under a Letter of Intent ("LOI") between AZA and BW for supply of a floating production, storage and offloading vessel ("FPSO") for the proposed BMG Phase 2 Project.

Today, the participants in the BMG Project have jointly filed a Defence to the Statement of Claim in the Federal Court of Australia. In addition, AZA, as Operator on behalf of the BMG Joint Venture, has filed and served a Cross Claim on BW due to the reliance by the BMG Joint Venture on the supply of the FPSO pursuant to the LOI, seeking recovery of drilling related costs in a range of between US $63.4 million and US $86 million with further losses to be particularized at a later date.

Participating interests in the BMG Project are as follows:

  • Anzon Australia Pty Limited (Operator); 40%
  • Beach Petroleum Limited; 30%
  • CIECO Exploration and Production (Australia) Pty Ltd; 20%
  • Sojitz Energy Australia Pty Ltd;10%

Company: Roc Oil more info
 - Santos Names Roc Oil CEO Anthony Neilson as CFO to Replace Andrew Seaton (Sep 19)
 - SapuraKencana Clinches $72M of Work in Malaysia, India & Cote d'Ivoire (Dec 08)
 - Faroe Completes Roc Oil Acquisition (Nov 06)
Company: Beach Petroleum more info
 - Beach Commences Production from Middleton Gas Project (Jan 09)
 - Beach Says Hello to Mr. Rod Rayner (Nov 11)
 - Beach Energy Gains Majority Control of Adelaide Energy (Nov 10)
Company: Sojitz Corporation more info
 - VAALCO Agrees to Acquire Sojitz's Stake in Etame Marin Permit Off Gabon (Aug 02)
 - IPR Scores Another Alam El Bueib Discovery in Egypt's Western Desert (Sep 02)
 - VAALCO Buys More Time for Etame Permit Off Gabon (Dec 01)
Company: Anzon Australia more info
 - Ocean Patriot Completes Drilling Program at BMG Field (Sep 03)
 - Pertamina Picks Up Stake in Offshore BMG Project (Aug 19)
 - Roc Oil Highlights Workover Program at BMG Oil and Gas Field (Aug 04)
Company: CIECO Exploration & Production more info
 - Japan Far East Gas, Gazprom Ink MOU for Vladistok LNG Project (Jun 24)
 - Ocean Patriot Completes Drilling Program at BMG Field (Sep 03)
 - Pertamina Picks Up Stake in Offshore BMG Project (Aug 19)
Company: BW Offshore more info
 - Norway's $24B Fund Seeing End To Losses In Oil Services (Aug 17)
 - Keppel Wins $89M Deals for Work on 3 Floating Facilities, 1 Pipelay Vessel (Jul 08)
 - BW Offshore Secures 3 Year Contract Extension for FPSO BW Pioneer (Apr 26)