Beach Energy Exit from BMG Joint Venture
Monday 18 April 2016
Cooper Energy Limited advises that Beach Energy Limited (“Beach”) and Cooper Energy have accepted an offer from the National Offshore Petroleum Titles Administrator (“NOPTA”) to convert the Basker, Manta and Gummy gas field permits VIC/L 26, 27 and 28 (“BMG joint venture”) in the offshore Gippsland Basin into Retention Leases.
Beach has also advised Cooper Energy of its intention to withdraw from the BMG joint venture, with effect from the end of the current permit year. The withdrawal will be undertaken in accordance with the joint operating agreement. Beach’s 35% non-operated interest in the permits will be assigned to Cooper Energy for nil consideration, increasing Cooper Energy’s stake to 100%.
The VIC/L 26, 27 and 28 permits are located (refer Figure 1 following) nearby the Sole gas field (VIC/RL3; COE interest: 50%) which is currently the subject of development plans for production via the Orbost Gas Plant (COE interest: 50%). Analysis conducted by Cooper Energy has identified an economic development opportunity for the Manta gas field using the Orbost Gas Plant. Cooper Energy is offering the opportunity to others to participate in its plans to develop the Sole and Manta gas fields to meet supply opportunities in eastern Australia.