Australian companies Bass Strait Oil and Oil Basins are applying to the National Offshore Petroleum Titles Authority (NOPTA) to surrender their joint interest in permit Vic/P41 in the offshore Gippsland Basin.
Both parties have agreed that the forward work program is uneconomical and it is in interest to surrender the title.
Once the final report is lodged with NOPTA and the filing fee paid, Bass Strait will have no further interest in or costs in relation to Vic/P41.
The firm said it is currently seeking to extract maximum value from its remaining Gippsland Basin assets whilst actively pursuing new project opportunities.
Bass Strait is the holder of interests in two adjacent exploration permits in Gippsland. The two permits, Vic/P41 and Vic/P68, are located approximately 40km south of the Victorian coast line.
Both permits lie on an easterly extension of proven producing trends. In late 2015, a technical review of the permits identified material gas play in the Emperor Formation which is similar in characteristic and on trend with the Longtom gas field.
The review also identified significant upside in Bass’ 100% owned Leatherjacket oil discovery in Vic/P68 and a number of possible oil targets on trend with Leatherjacket. Emperor Formation showed prospective gas resources of over 1.75 Tcf and Leatherjacket identified about 8 MMbbl.
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