Central Petroleum said that its wholly-owned subsidiary Central Petroleum Eastern has been granted an Authority to Prospect for the Queensland Surat Basin coal seam gas acreage (ATP 2031), spread across 77km2, and located about 28km north-west of the town of Miles.
Central was announced as preferred bidder for the Queensland Acreage on 1 March this year and on 25 June agreed a 50:50 joint venture arrangement with Incitec Pivot Limited (“IPL”) in respect of this acreage. Under the arrangements in place, IPL will fund up to $20 million for the exploration program.
This award, which is dedicated to the domestic market, represents a further step in Central’s focus in exploring and appraising potential gas resources in an effort to bring new gas supply to the east coast market to provide certainty to Australia’s manufacturing industry.
Central looks forward to continuing its gas growth strategy and becoming a major gas supplier into the east coast market.
Source: Company Press Release