Metgasco in Out of Court Settlement Talks with New South Wales

Metgasco on Monday confirmed that it has had discussions with the NSW Government to seek an out-of-court settlement for the dispute over the suspension of Metgasco’s approval to drill a conventional and tight gas well. 

“Metgasco continues to argue that the Government’s suspension decision was unlawful and unjustified and has severely damaged its interests.  Court action is currently underway to have the suspension decision lifted,” the company said in a statement.

In May, New South Wales’ Office of Coal Seam Gas has asked Metgasco to suspend all work on the Rosella E-01 exploration well until the company can demonstrate it has complied with condition 8 of the PEL 16 exploration licence regarding community consultation.

The company is focussed on exploring the Clarence Moreton basin in northern New South Wales. The company has a 100% interest in all of its tenements which include PEL 16, PEL 13 and PEL 426. These tenements cover an area of approximately 4,556 km2.