This was a bit new. As I remember Origin withdrew because it thought the group hadn't achieved permissions for a delay in seismic from the Department, conditions precedent for the JV. Now, we are OK til 2014. Everything is sweet with these lease commitments, and between us and Department?
EP368 and EP426
In late 2012, Origin decided to withdraw its offer to farm-in to earn a 40% interest in the project by acquiring a 3D 100km2 seismic survey over the North Erregulla prospect. As a consequence, the 3D program has been temporarily postponed. However there are other parties that have expressed an interest to farm-in and are in discussion with the Operator, Empire Oil and Gas.
Norwest considers these permits to have considerable potential for both conventional oil and shale gas deposits, and will elect to maintain its 20% interest in any future farm-in proposal by funding its 20% share of the survey costs. It is anticipated that the seismic survey will now be conducted in Q1/2014.
and yes more money in the kitty than thought, probably could delay, but I would still do a CR while drilling. Might get a bit lean on news after.
ps I love Kockatea.
NWE Price at posting:
4.7¢ Sentiment: Buy Disclosure: Held
