turtle and barnett oil fields acquisition

TURTLE AND BARNETT OIL FIELDS
DVM acquires 100% working interest in retention lease WA 13-R (Turtle Oil Field) and
NT/RL3 (Barnett Oil Field).
DVM International Limited (¡§the Company¡¨ or ¡§DVM¡¨) is pleased to advise that it has
reached an agreement to acquire 100% of Drillsearch Energy Limited¡¦s (¡§Drillsearch¡¨)
interests in WA 13-R and NT/RL3, located in the offshore Bonaparte Basin in Western
Australia and the Northern Territory respectively.
WA 13-R contains the Turtle Oil Field which has current estimated reserves of 12 million
barrels of oil recoverable.
NT/RL 3 contains the Barnett Oil Field which has current estimated reserves of 3 million
barrels of oil recoverable.
As consideration for the acquisition, DVM is obliged to make the following payments to
Drillsearch:
„h An initial payment of $A500,000 at the completion of an initial well drilled into
either retention lease; and
„h A total payment of $1,500,000 over two years from production from each defined
oil pool and an ongoing 2% well head royalty.
It is the intention of DVM to actively re-evaluate both lease areas by conducting additional
studies on the economics of the potential development of both fields. In addition
exploration studies will also be carried out to evaluate the potential of the Turtle Oil Field to
contain greater reserves at depth.
050808 Turtle and Barnett.doc
www.dvminternational.com
103 Abernethy Road Belmont WA 6104 Australia
T +61 8 9478 5399 F +61 8 9277 6818 ABN 80 072 964 179
The acquisition agreement is subject to approval by the Designated Authorities within the
respective jurisdictions and approval by those authorities to a two year extension to the
licence term to provide DVM with sufficient time to undertake the re-evaluation of the fields
including the possible drilling of additional wells.
For further information contact:
Ivan BURGESS
Managing Director
DVM International Ltd
103 Abernethy Road
BELMONT WA 6104
PO Box 566 Belmont WA 6984
Telephone: +61 (0)8 9478 5399
Facsimile: +61 (0)8 9277 6818
Mobile: +61 (0)405 549 947
Email: [email protected]
Web: http://www.dvminternational.com
This release has been prepared by Ivan Burgess, Managing Director of DVM International
Limited, who is a Geologist with over 30 year¡¦s petroleum experience.