Eneabba Gas to expand Perth Basin portfolio

THE ROADHOUSE BOWSER: Eneabba Gas (ASX: ENB) has entered into a binding Heads of Agreement with Greenpower Energy (ASX: GPP) for an option to acquire 100 per cent of the issued capital of the latter’s wholly-owned subsidiary, GCC Methane.

GCC owns a 50 per cent interest in Exploration Permit 447 (EP447), located in the Perth Basin, approximately twenty kilometres to the south-east of Eneabba’s Ocean Hill project.

UIL Energy (ASX: UIL) is the remaining 50 per cent owner in EP447.

Eneabba Gas will pay a $30,000 non-refundable option payment for a 45 day exclusive period, in which time the company will complete its due diligence on the permit.

Should the company elect to exercise its option to acquire GCC (GCC’s only asset is EP447) it will pay $820,000 to Greenpower for 100 per cent of the issued capital of GCC.

EP447 covers approximately 1,108 square kilometres and includes the formerly producing Waylering Gas Field.

2D seismic coverage of the permit consists of the 2013, UIL Energy Badgingarra 2D seismic survey, heritage, 1970s data acquired by WAPET and 1990s data acquired by Discovery Petroleum.

Eneabba said its first round review of the available technical data identified a potential resource contained within the permit area.

“We have been aggressively reviewing opportunities in the Perth Basin that are early entry and provide opportunity to value add through data acquisition,” Eneabba Gas director Thomas Goh said in the company’s announcement to the Australian Securities Exchange.

“Our process of evaluation has focussed on permits that have large potential gas reserves, are close to infrastructure and can be quantifiably derisked.

“The addition to our portfolio of EP447 is consistent with our strategy of building a strong onshore domestic energy company.”

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