MEO Australia Limited announces that it’s wholly owned subsidiary Transworld Seruway Exploration Limited (TSEL) has executed a contract with PT PGS Nusantara (PGS) for the acquisition of a 705 km2 3D marine seismic survey in the Seruway PSC, offshore North Sumatra (TSEL participating interest 100%).
The survey will be acquired using the M/V Pacific Explorer, is scheduled to commence acquisition on or about December 2nd and take approximately 30 days to complete. The value of the contract is approximately US$5.8 million excluding processing.
The Seruway PSC currently covers an area of 3,635 km2 and contains two significant gas discoveries (Gurame and Kuala Langsa) together with a number of additional exploration and appraisal opportunities. The PSC is proximal to the Exxon-Mobil operated Arun LNG plant which has near term unfilled capacity. Under the acquisition arrangements, MEO has committed to acquire a 700km2 3D seismic survey and drill one exploration well in the PSC before the end of 2012. The PSC expires on 11th December 2014 and is operated out of TSEL’s office in Jakarta.
[mappress] Source: MEO Australia, November 03, 2011; Image: PGS