9th Jan 2009 07:27
9 January 2009 WEST KAMPAR PSC, INDONESIA - UPDATE
Oilex Ltd announces that its wholly owned subsidiary Oilex (West Kampar) Limited has elected to terminate the agreement to acquire an additional 15% participating interest in the West Kampar Production Sharing Contract onshore Sumatra, Indonesia from PT Sumatera Persada Energi (SPE). Oilex retains a 45% Working Interest in the PSC. This is consistent with Oilex's plans to adjust its interests in the West Kampar PSC as noted in the Operations Update accompanying the release made on 22 December 2008.
Under the terms of this agreement, Oilex had the right to terminate the agreement if Government approval to the assignment had not been received by 7 January 2009. Oilex exercised that right by notice, which has been acknowledged and accepted by SPE. SPE is required to reimburse the funds advanced by Oilex to date under the terms of this agreement; such refunds are secured over SPE's interest in the Production Sharing Contract.
Oilex is continuing to pursue the early development of the Pendalian field and the ongoing work program to maximise the value of the West Kampar asset.
The participating interests (PI) in the West Kampar PSC are currently:
Joint Venture Party PI Oilex (West Kampar) Limited 45% PT Sumatera Persada Energi 55% (Operator) Yours sincerely,B. H. McCarthyManaging Director
For further information, please contact:
Ray Barnes, Technical Director, Oilex Ltd Tel. +61 8 9485 3200 (Western Australia)
Archie Berens, Director Pelham Public Relations Tel. +44 20 7743 6679 (United Kingdom)
RFC Corporate Finance Ltd acts as Oilex's Nominated Adviser, contact Stuart Laing +618 9480 2506
The information in this report has been compiled by the Managing Director of Oilex Ltd, Bruce McCarthy B.Sc. Hons. PhD (Geology) who has over 29 years experience in petroleum geology and Ray Barnes, B.Sc. Hons. the Technical Director of Oilex Ltd who has over 35 years experience in petroleum geology and is a member of the AAPG & EAGE. Estimates of oil-in-place are reported in accordance with the standard definitions set out by the Society of Petroleum Engineers, further information on which is available at www.spe.org.
A glossary of terms used in the oil and gas industry and useful links to other glossaries can be found at http://www.spe.org/spe-app/spe/industry/reference/ glossary.htmhttp://www.spe.org/spe-app/spe/industry/reference/glossary.htm.
vendorRelated Shares:
OEX.L