The Board of Austin Exploration Limited (ASX: AKK) is pleased to announce that it has sold its option to farm-in for up to a 4% working interest on exploration licenses in the Republic of the Seychelles to WHL Energy Limited.
With Austin?s USA based subsidiary having recently acquired two large shale projects in Texas and Colorado, the Board of Directors felt it was prudent to focus on the development of these shale projects as it prepares to embark on a very significant drilling campaign at the Eagle Ford and Niobrara Projects. The two shale projects cover more than 15,000 acres in prolific Oil and Gas regions of the US, with Austin holding a minimum of 65% Net Revenue Interests.
Austin entered into a Memorandum of Understanding with Seyco/WHL Energy in 2010, which granted Austin the right to a non-promoted 1 :1 farm-in of up to a 4% working interest on the first well that will be drilled by WHL Energy. Austin paid AUD$ 340,000 for this right and has sold it to WHL Energy for AUD$420,000, which will ensure that Austin?s funds and management focus can be directed towards its very material US shale portfolio.
The Board of Austin Exploration wishes WHL Energy every success for its upcoming Seychelles Exploration programme.
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