The permit, which adjoins Vic/P44 in which AWE holds a 25% interest in the producing Casino gas project, comprises the undeveloped La Bella gas discovery and multiple near-field exploration targets.
According to the agreement AWE will pay 75% of the total cost amounting $9m, under the terms of the agreement, to acquire a 3D marine seismic survey over the La Bella field and surrounding exploration targets.
Expected to commence in the fourth quarter of 2013, the 811km2 seismic survey has full environmental approvals.
AWE will give up its interest in the permit or to commit to drilling two exploration wells at either 30% or 60% working interest. It will assume operatorship of Vic/P67 in the first half of 2014, if it opts to enter the drilling phase.
AWE managing director Bruce Clement said farming-in to the La Bella field aligns with the company’s strategy of identifying early stage appraisal opportunities where the company can add value.
"The La Bella gas and condensate field is located close to existing infrastructure which significantly enhances its development potential," Clement added.
Previously WHL Energy has reported gross 2C Contingent Resources for the La Bella gas and condensate discovery of 114 Petajoules (PJ) of gas and additional exploration prospects within the permit area with total unrisked Prospective Resources of 577 PJ on a P50 basis.
