Tap Oil Ltd reported on 9 September 2019 that it had reached a deal to sell its remaining Australia and New Zealand to Kensington Energy Ltd. Under the terms of the sale and purchase agreement, Kensington Energy will be acquiring Tapâs interest in WA-25-L and WA-72-P, located in the Australian North Carnarvon Basin, as well as its overriding royalty interest in PMP 53803, located in New Zealandâs Taranaki Basin.Â  Kensington Energy will be paying USD 3.21 million in the transaction, which will have an effective date of 31 March 2019.   It is subject to regulatory conditions, though no government approvals are required and no pre-emptive rights have been exercised.  WA-25-L covers an area of 400 sq km and was awarded on 21 June 2002.Â  Tap holds 15% interest in the licence, which Kensington Energy will take at the completion of the deal. Partners in the licence are Eni Australia Ltd (65% + Operator) and Mobil Australia Resources Co Pty Ltd (20%).Â  The licence contains the Woollybutt and Woollybutt South fields, which were discovered in May 1997 and December 1999 respectively. Both produced, Woollybutt coming onstream in April 2003 and Woollybutt South in July 2008, until both were abandoned in June 2012.Â  Decommissioning is planned for 2020.Â  Tap Oil reported that field abandonment costs will be passed to Kensington Energy, with Tap having no future liability.  WA-72-R covers an area of 160 sq km and was awarded on 11 April 2016.Â  Tap Oil holds a 20% interest, which Kensington Energy is acquiring, with BHP Billiton holding 55% and operatorship and Santos holding the remaining 25%.Â  The licence contains the north sections of the Tallaganda and Bunyip gas discoveries, which were made in April 2012 and March 2014 respectively and are being appraised for potential development.  In PMP 53053 Tap Oil has a 5% oil, gas and condensate overriding royalty on 66.67% of the permit, which covers the Sidewinder field, discovered in September 2010. The field has been producing since October 2011.Â  Tap reported that its 2018 revenue from the royalty was USD 0.15 million. The PMP 53053 permit, which covers an are of 2.9 sq km and was awarded on 22 February 2012, is held 100% by Tamarind Resources.   Kensington Energy is a privately owned Australian oil and gas investment company, which is reported to be looking to acquire non-operated interest in oil and gas assets across Australasia to build a diverse portfolio of assets.  Tap has been attempting to divest its remaining Australasian assets, to focus on its Manora asset in Thailand, for some time.Â  During the process a number of licences have been surrendered, or sold to other parties.Â  The sale of interest to Kensington Energy is part of Tapâs final exit from the region. Tap currently holds interest in two other licences, outside of the Kensington Energy deal, WA-34-R and WA-22-L.Â  Both licences are planned to be surrendered.
Australia, WA-25-L