BROWSE BASIN: OFFSHORE WESTERN AUSTRALIA
29.75% INTEREST
OPERATOR: EXOIL LIMITED
Exoil, through its wholly owned subsidiary, Hawkestone Oil Pty Ltd, holds a 29.75% interest in three contiguous permits (WA-332-P, WA-333-P and WA-342-P) operated by the Browse Joint Venture.
The Browse Joint Venture consists of:
Hawkestone Oil Pty Ltd 29.75%
Batavia Oil & Gas Pty Ltd 29.75%
Alpha Oil & Natural Gas Pty Ltd 17.00%
Gascorp Australia Pty Ltd 15.00% (earning pursuant to farmin)
Goldsborough Energy Pty Ltd 8.50%
Figure 4 below shows the location of WA-332-P, WA-333-P and WA-342-P. For a geological description of WA-332-P, WA-333-P and WA-342-P see Section 7 of the Information Memorandum.
The Browse Joint Venture previously acquired the Braveheart 2D seismic program over WA-332-P and WA-333-P and has obtained available open file reports and basic 2D and 3D seismic data acquired by previous explorers. This includes 2,000 km² of high quality 3D seismic over WA-342-P, known as the Cornea 3D survey, which is held by the Browse Joint Venture. Approximately 1,000 km2 of this data has been entirely reprocessed. The data sets have been integrated with the acquisition and processing of the Braveheart 2D seismic survey to infill the existing grid of data, with lead specific coverage in some parts of WA-332-P and WA-333-P.
Amplitude Versus Offset (“AVO”) studies over the Braveheart Prospect, which straddles WA-332-P and WA-333-P, have provided a drilling target for this Prospect. The Joint Venture acquired approximately 770 line kms of new infill 2D seismic in Q4 2008 across WA-332-P and part of WA-333-P. The Joint Venture farmed out this obligation to acquire the new 2D seismic to Gascorp. The terms of this arrangement can be viewed at section 10 of the Information Memorandum.
The Joint Venture has committed to drilling the Braveheart-1 well in WA-333-P in 2009 by, in conjunction with other explorers, securing the services of the semi-submersible “Songa Venus” rig. The Joint Venture presently plans to farm out the obligation to drill the Braveheart-1 well.
The permits are not subject to Native Title claims.
Budgeted Expenditure – WA-332-P
| Year of Term of Permit |
Summary Work Program |
Exoil's 29.75% Share of
|
|
Budgeted Expenditure* A$
|
Indicative Expenditure* A$
|
| |
|
2008/2009
|
2009/2010
|
| Year 5 |
Drill One Well |
NIL
|
|
| |
Acquire 400 kms of 2D Seismic |
NIL
|
NIL
|
| Year 6 |
Office Studies |
|
100,000
|
| TOTAL BUDGETED EXPENDITURE 2008/2009 |
NIL
|
|
| TOTAL BUDGETED EXPENDITURE 2009/2010 |
|
100,000
|
| *ASSUMPTIONS: |
That the well obligation is farmed out.
That the 400 kms of 2D seismic due in Year 6 is acquired in Year 5 and the obligation is farmed out.
|
Budgeted Expenditure – WA-333-P
| Year of Term of Permit |
Summary Work Program |
Exoil's 29.75% Share of
|
|
Budgeted Expenditure* A$
|
Indicative Expenditure* A$
|
| |
|
2008/2009
|
2009/2010
|
| Year 5 |
Drill Braveheart-1 Well |
NIL
|
|
| |
Acquire 400 kms of 2D Seismic |
NIL
|
NIL
|
| Year 6 |
Office Studies |
|
100,000
|
| TOTAL BUDGETED EXPENDITURE 2008/2009 |
NIL
|
|
| TOTAL BUDGETED EXPENDITURE 2009/2010 |
|
100,000
|
| *ASSUMPTIONS: |
That the Braveheart-1 well obligation is farmed out.
That the 400 kms of 2D seismic due in Year 6 is acquired in Year 5 and the obligation is farmed out.
|
Budgeted Expenditure – WA-342-P
| Year of Term of Permit |
Summary Work Program |
Exoil's 29.75% Share of
|
|
Budgeted Expenditure* A$
|
Indicative Expenditure* A$
|
| |
|
2008/2009
|
2009/2010
|
| Year 5 |
Geotechnical Studies |
10,000
|
25,000
|
| Year 6 |
Drill One Well |
|
NIL
|
| TOTAL BUDGETED EXPENDITURE 2008/2009 |
10,000
|
|
| TOTAL BUDGETED EXPENDITURE 2009/2010 |
|
25,000
|
| *ASSUMPTIONS: |
That the Joint Venture completes the proposed program of Geotechnical Studies in Year 5, followed by a well in Year 6.
That the Year 6 well will be farmed out or an election is made not to drill. The Company does not plan to contribute to drilling a well in WA-342-P.
|