Whitebark Energy Ltd announced on 26 June 2018 that it would be increasing its interest in R 7, located in the Perth Basin, which contains the Warro asset.Â  Whitebark Energy, which holds interest through wholly owned subsidiary Latent Petroleum Pty Ltd, will be acquiring joint venture partner Alcoa Australiaâs 43% interest in the licence to increase its holding to 100%.  Whitebark reported that it was acquiring the additional interest to give it greater flexibility to develop the asset once the fracking moratorium in Western Australia, which is currently in force, is lifted.Â  Whitebark has relinquished the surrounding assets, R 6 and EP 321, with the aim to focus its work on the Warro licence.Â  The company reports that near term work commitments have been met and that the licence is under suspension until the ban is lifted, giving it the opportunity to evaluate its forward plan.  Under the terms of the sale, Alcoa will continue to fund any abandonment liabilities related to any Warro wells that are not used in development of the asset. Â The companies reported that the opportunity for a future gas offtake agreement with Alcoa remains in place.  The Warro field was discovered in September 1977.Â  It is a tight gas field, with water production during testing having caused issues with past operations.Â  Operations have focussed on reducing water cut and achieving commercial gas production from the reservoir.  R 7, which covers an area of 223 sq km, was awarded on 5 December 2014.Â  Once the sale is complete, Latent Petroleum Pty Ltd will hold 100% interest and operatorship of the licence.
Whitebark Energy (->100%) will be acquiring JV partner Alcoa Australiaâs 43% interest in the R 7 licence.