The Brisbane-based company today said the gas work program, to be rolled out over the next six months, is aimed at furthering its projects towards reserve certification and development.
Managing director Tony Gilby said the additional funds emerged after drilling of the Wellington-1 offshore oil exploration well in the United Kingdom came in below budget earlier this month.
“We are nicely positioned to continue developing our key projects which we hope will deliver strong earnings in future,” he said.
Sunshine boosted its cash position this year with an asset sale, share placement and the introduction of farm-in partners. It will also receive a further $6 million boost if “in-the-money” options are exercised as expected in November, it said.
The funds will go towards a number of projects including a pilot production program in licence ATP 795P in north Roma, Queensland.
Sunshine said most of the other projects have been farmed out or require little near-term spending.
Partners farming into Sunshine Gas’ projects include WestSide Corporation Limited, which is to earn 50% of Paranui, Tilbrook, Foxleigh and Cullin; Avery Resources, which is to earn 40% of the Cooper Basin onshore oil project area; and Beach Petroleum, which is earning 50% of Champagne Creek.
The company last week also started a 16-day drilling and evaluation program at Champagne Creek in ATP 768P in the eastern Bowen Basin of Queensland as part of the Beach Petroleum farm-in.
Sunshine said the work program is subject to rig availability and shows that the $2.5 million earmarked for Lacerta in November and December accounts for almost half the total planned outlay.
