Melbana given more time for Beehive well preparations
Feb. 27, 2018
The National Offshore Petroleum Titles Administrator has approved Melbana Energy’s application to vary the work program for the WA-488-P permit offshore Western Australia.
Beehive prospect in the WA-488-P permit offshore Western Australia
Offshore staff
MELBOURNE, Australia – The National Offshore Petroleum Titles Administrator has approved Melbana Energy’s application to vary the work program for the WA-488-P permit offshore Western Australia.
Permit Year 2 is now extended by six months to Sept. 21, along with the timeframe for drilling theBeehive-1 exploration well.
Last December, Melbana executed a seismic funding/farm-in option agreement withTotal and Santos for the permit.
Both companies agreed to fund 100% of the cost of a 3D seismic survey over the multi-billion-barrel Beehive prospect in exchange for an option to take an 80% interest in the permit.
In that event, they would fully finance the costs of all activities until completion of the first well, and should a commercial discovery follow, Melbana would repay carried funding from its share of cash flow from the Beehive field.
Planning for a 3D seismic survey is progressing with the environmental permit application lodged earlier this month, and acquisition targeted to begin in mid-year.
