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    Oilex Extends Acquisition of Cooper-Eromanga Licences

Summary

Oilex is set to acquire Senex’s position in 27 petroleum retention licences in Cooper-Eromanga basins.

by: Shardul Sharma

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Natural Gas & LNG News, Asia/Oceania, Security of Supply, Corporate, Mergers & Acquisitions, Exploration & Production, Investments, News By Country, Australia

Oilex Extends Acquisition of Cooper-Eromanga Licences

Oilex December 16 said the process of acquisition of fellow Australian operator Senex’s position in 27 petroleum retention licences (PRLs) in Cooper-Eromanga basins has been extended by two months to February 29, 2020.

“The company advises that it is well advanced in the negotiations to secure the completion of the acquisition of the PRLs with the extension providing further time to finalise these negotiations and obtain the applicable regulatory approvals,” Oilex said.

In September, Oilex signed a binding term sheet to acquire Senex’s position subject to satisfaction of conditions including government approvals by December 31, 2019, now extended to February 2020. The Senex acquisition, comprising Northern Fairway licences, span 2,445 km2 and comprise permits covered by a 792-km2 seismic survey obtained by Senex in 2012. 

Oilex will pay Senex only a symbolic A$1 ($0.70) per licence under the deal. It will also commit to covering existing abandonment liabilities and licence renewal fees, as well as meeting expenditure targets.

Oilex’s main focus is in southeast Asia, where it operates fields in India, Indonesia and East Timor. It is eager to expand its business, reaching an agreement to buy two licences in the Cooper-Eromanga basins in August, followed by a deal to obtain two UK licences in the East Irish Sea.