MELBOURNE, AUSTRALIA (12 th April, 2012) MEO Australia Limited (ASX: MEO; OTC: MEOAY) advises that it has completed preliminary discussions with a number of major industry participants in relation to the commercialisation of the Tassie Shoal Projects. As a consequence, formal Expressions of Interest (“EoI”) have been received from potential buyers for the purchase of an aggregate of 8.3MTA of methanol from the first Tassie Shoal Methanol Plant (“TSMP1”) which is designed to have a nameplate capacity of 1.75 MTA. If matured, the current indicated demand will enable 100% of the output of TSMP1 to be pre-sold. The discussions with major industry participants and the ensuing EoIs represent the first steps in MEO’s renewed strategy to commercialise the Tassie Shoal Projects. The process reflects an intention to fully develop a commercial foundation to support MEO’s proposed development solution for all undeveloped, high CO2 gas resources through the Tassie Shoal location. MEO will continue to mature the commercial framework for the Tassie Shoal Projects by exploring the potential synergies between the pre-sale of methanol, midstream and upstream participation in the Tassie Shoal Projects.
MEO Price at posting:
30.5¢ Sentiment: Buy Disclosure: Held