The "earn-in" cost to PGY. "Under the terms of the agreement, Pilot Energy will pay the cost of Empire’s recently completed airborne geophysical survey of the permits, by paying an initial $150,000 to Empire. A further $300,000 will be payable upon the parties satisfactorily negotiating amendments to the permit terms with the regulatory authority (in order to optimise the exploration program for the permits, and anticipated to occur early second quarter of 2016). At that point Pilot Energy will earn a 60% interest in EP416 and EP480, and assume operatorship of both permits. Pilot Energy will also fund Empire’s share of permit-related costs (excluding seismic and drilling costs) for a period of 24 months"
Ref : 2nd Sept 2015 ASX Release
EGO Price at posting:
34.0¢ Sentiment: Hold Disclosure: Held
