Mid Continent, which has offices in Singapore, Houston, Sharjah and Perth, will earn a 25% participating interest in PEL 101 by contributing towards the cost of the upcoming field program.
“The first field activity will be the drilling of Ginko-1, an exploration well in the south-western part of the permit,” Innamincka told the ASX yesterday.
The Ginko-1 site is about 6km north of Santos' producing Coonatie gas field.
“The well is due to commence later this month,” Innamincka said.
“A seismic survey over the Kapok structural culmination is planned for acquisition in August-September this year.”
Innamincka said PEL 101 was located in the north-western part of the Cooper Basin and was considered to have good gas potential within the Cooper Basin section as evidenced by several surrounding gas fields. The permit also offered some oil potential in the Eromanga Basin section with the Cuttapirie oilfield along the northern permit boundary being the closest field, according to the company.
Current interests in PEL 101 are Innamincka Petroleum Limited (operator) 35% and Vernon E Faulconer Australia Inc 65%.
Upon completion of Mid Continent’s earning obligations, interests will be Innamincka Petroleum Limited (operator) 37.5%, Vernon E Faulconer Australia Inc 37.5% and Mid Continent Equipment (Australia) Pty Ltd 25%.
