News: Oil Basins acquires interest in Gippsland Basin oil permit

Oil Basins (ASX:OBL) has completed its acquisition of a 25% interest in the VIC/P47 Permit in the Gippsland Basin offshore Victoria from Strategic Energy Resources (ASX:SER).

The company issued SER with 6 million shares at $0.02 each for the stake.

VIC/P47 has two undeveloped gas discoveries – Judith Gas Field (1989) and Moby Gas Field (2005) with an estimated combined recoverable 2C and P50 gas resources of about 150 billion cubic feet.

Late last year, Oil Basins had also increased its stake in the VIC/P41 permit also offshore Gippsland to 35.435%, having acquired Shelf Oil (which has a 17.5% interest in the exploration permit) from Strategic.

Both permits are close to well-developed regional infrastructure including the Patricia-Baleen Regional Subsea Hub and the Onslow Gas plant.

Once the VIC/P47 option is successfully exercised, the combined Oil Basins/Shelf net share of the variation 2014 Work Program is likely to be around $50,000.