• Natural Gas News

    Central to close Amadeus basin deal on Oct 1

Summary

New Zealand Oil and Gas (Nzog) and Cue Energy have picked up 50% interest in Central's three producing fields in Australia's Northern Territory.

by: Shardul Sharma

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Central to close Amadeus basin deal on Oct 1

Sydney-listed Central Petroleum on September 20 said that its agreement with New Zealand Oil and Gas (Nzog) and Cue Energy to sell a 50% interest in its three Northern Territory fields has now become unconditional following all conditions precedent being met. The transaction is scheduled to complete on October 1.

The A$85mn ($66mn) deal, which was announced in May, involves Central's Mereenie, Palm Valley and Dingo oil and gas fields in Northern Territory’s Amadeus basin. It is expected to result in an after-tax accounting profit net to Central of about A$35-A$40mn on the sale.

Central will remain as operator and manage gas sales from the assets on behalf of Nzog and Cue under a joint marketing agreement.