Karoon will now resume a 100% working interest in the WA-314-P and 315-P leases.
Executive director Robert Hoskings told EnergyReview.net the 400-square-kilometre 3D seismic program remained on schedule to begin November 17.
“BG will now assign the Ramform Victory seismic vessel to Karoon and we will proceed with the project,” said Hoskings.
“We’re now talking to other potential farm-in partners, but that doesn’t exclude BG from coming back onboard in about three or four months time.”
Hoskings said the two companies remained “good friends” despite the incident.
“It’s better that we proceed with the project 100%, because there were terms and conditions in place that we weren’t willing to negotiate,” he said.
BG claimed in a withdrawal notice that it “will provide reasonable assistance for 30 days...to allow Karoon to carry out Phase 2 of the Exploration Program.”
Hosking said a “large number" of international companies had expressed interest in farming into the permits, since Karoon announced on October 3 that BG had been granted a time extension to sign the agreement.
The 3D program includes an additional 3D survey of up to 1200 square kilometres, including data processing, interpretation and evaluation, said Karoon in its last statement.
The permits are less than 10km from the giant Scott Reef/Brecknock gas and condensate fields complex, estimated by Woodside Petroleum to contain roughly 21 trillion cubic feet of recoverable gas reserves with 210 million barrels of condensate.
