Oilex Wins Bid for South Oz Block
Oilex's bid for a permit to block CO2019-C in the Cooper Eromanga basin in South Australia has been successful, it announced on June 30.
The company will be awarded the block after it receives and accepts a formal licence offer from the South Australian government. The permit area is adjacent to the 27 petroleum retention licences in the Northern Oil and Gas Fairway, which Oilex is working on acquiring from fellow Australian operator Senex.
Block CO2019-C has "high prospectivity", given its location near to a number of discovered oil and gas fields, Oilex said. The permit's required work programme over the first five years involves collecting 250 km2 of 3D seismic data and drilling two wells.
Along with the rest of Oilex's Cooper Eromanga basin operations, the new permit is set to be sold to Sydney-listed Armour Energy, under a deal announced on June 15. Any costs relating to permit will therefore be borne by Armour, Oilex said.