MEO finds partner for Heron

Offshore staff

MELBOURNE, Australia -- MEO Australia has accepted a conditional offer for a farm-in to the NT/P68 exploration permit off Northern Australia.

Negotiations are in progress to convert the offer into binding agreements, subject to Australian regulatory approvals.

MEO currently holds 100% of the 5,900-sq km (2,278-sq mi) concession, which contains the Heron and Blackwood gas discoveries.

The company had offered up to 50% equity in the portion including Heron, which has mean prospective resources estimated at 5 tcf recoverable. But MEO plans to retain a 100% interest in Blackwood.

03/15/2011