Apache farms into permit offshore Australia

Offshore staff

SYDNEY, Australia – Apache Northwest Pty Ltd has agreed to farm into the WA-388-P permit offshore Western Australia, according to Oilex Ltd. Apache will have 40% interest in return for drilling the first exploration well and well test costs.

Apache already has contracted the Stena Clyde to drill the well which will spud early in 2011 and target an Intra Mungaroo channel zone.

Oilex says the permit has a variety of play types and that seven prospects ranging in potential up to 2.8 tcf are identified based on 3D seismic data suggesting gas by analogy with discoveries in the area.

In addition to Apache, joint venture partners include Oilex (8.4%), Sasol Petroleum Australia Ltd. (18%), and Videocon Industries Ltd, Gujarat State Petroleum Corp. Ltd., Bharat PetroResources Ltd., and Hindustan Petroleum Corp. Ltd, each with 8.4%.

11/22/2010