EOG authorized to drill Beehive prospect offshore Australia
June 17, 2024
EOG has secured environmental approval to drill the Beehive exploration well in the WA-488-P permit offshore Western Australia, according to Melbana Energy.
SYDNEY, Australia — EOG has secured environmental approval to drill the Beehive exploration well in the WA-488-P permit offshore Western Australia, according to Melbana Energy.
Melbana sold its full interest in the permit to EOG in 2021 for $7.5 million plus future contingent cash payments of $5 million and royalties of $10 million for each 25 MMbboe produced from any development that might follow.
The Beehive well will test a large carbonate prospect that Melbana believes could hold up to 1.4 Bbbl of oil.
Melbana has retained the adjacent WA-544-P and NT/P87 exploration permits, which contain similar carbonate platform prospects, and it is working on funding for a forward work program comprising a 3D seismic survey and a contingent drilling option.
