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    Comet Ridge completes APLNG deal

Summary

Comet Ridge’s net interest in the Mahalo gas project in Queensland project has increased from 40% to 70%.

by: Shardul Sharma

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Comet Ridge completes APLNG deal

Comet Ridge has completed the acquisition of Australia Pacific LNG’s (APLNG) 30% interest in the Mahalo gas project in Queensland, the company said on June 29. Comet Ridge’s net interest in the project has increased from 40% to 70%.

The company has paid A$12mn ($8.36mn) in cash to APLNG on the completion of the deal and will pay a further A$8mn in deferred tranches. Comet Ridge has also executed a funding and option agreement with the Mahalo joint venture partner, Santos.

“The Mahalo gas project is a key opportunity to bring an additional source of gas to the Queensland market at a time when global and Australian energy markets are in need of new sources of reliable gas supply for retail consumers, manufacturing and gas-fired power generation,” Comet Ridge managing director, Tor McCaul, said. 

Comet Ridge said the acquisition will lead to a substantial increase in its gas reserves – 80 petajoules increase in 2P reserves to 186 petajoules and 138 petajoules increase in 3P reserves to 321 petajoules.