ConocoPhillips has boosted its offshore exploration portfolio in Australia with a farm-in to a permit with shallow water gas potential.
Through an agreement with 3D Oil, the US supermajor will take up an 80 percent operator interest in Block VIC/P79 in the Otway basin.
3D Oil will receive a cash payment of $3 million and be carried for the first $35 million of well costs.
The permit has a primary term minimum work commitment of a single exploration well by February 2025, said 3D Oil, which also partners ConocoPhillips in nearby Block T/49P.
3D Oil earlier in July said it has delineated two near-field exploration targets, Defiance and Trident, in Block VIC/P79 that are down-dip from the existing La Bella discovery.
These are in addition to the previously recognized Vanguard prospect, which has a best-estimate contingent pre-drill potential of 161 billion cubic feet of gas.
Water depths in the area that contain Defiance, Trident and Vanguard are about 100 meters.
For more information visit www.conocophillips.com
