Joint Venture Restructure with Queensland Gas Company Unlocks Significant Benefits For WestSide Corporation Limited (ASX:WCL)
Brisbane, June 9, 2011 AEST (ABN Newswire) - WestSide Corporation Limited (
ASX:WCL) and Queensland Gas Company (QGC) have today executed a restructure of the Joint Operating Agreements (JOAs) covering their coal seam gas (CSG) exploration tenements ATP 688P and ATP 769P in Queensland's Bowen Basin.
WestSide's Chief Executive Officer Dr Julie Beeby said the restructure offered WestSide a number of significant benefits, including full operatorship of ATP 688P.
"WestSide will also now assume operatorship over a significantly larger proportion of ATP 769P, providing greater potential synergies with the adjacent producing Meridian SeamGas operation near Moura in the southern Bowen Basin," Dr Beeby said.
"The extension of our operatorship in both tenements attests to WestSide being a capable and cost-efficient Operator.
"WestSide is also developing key technical expertise at Meridian SeamGas that will be utilised in certifying additional reserves and developing future production from these Bowen Basin exploration tenements."
Under the restructure QGC will become the sole owner of the Central Area within ATP 769P, an area where WestSide has decided not to participate in further exploration.
QGC has committed to solely fund a regional seismic program throughout ATP 769P and will provide Westside with access to approximately 240 km of seismic data related to the joint operating area.
Following the restructure QGC will retain a 50 per cent interest in ATP 688P and a 50 per cent operating interest in the remaining joint operating area within ATP 769P.
The joint venture restructure will also allow an offer to be made to Mitsui E&P Australia (Mitsui) to acquire 49 per cent of WestSide's restructured 50 per cent joint venture interests in both tenements under the new agreement.
"We are delighted with this outcome which takes us one step closer to bringing Mitsui into these tenements and further demonstrates the good working relationship we have developed with QGC," Dr Beeby said.
A map showing the location of the Bowen Basin tenements can be viewed here:
http://www.abnnewswire.net/media/en/docs/232586.pdf
Contact
Julie Beeby
Chief Executive Officer
WestSide Corporation Limited
Tel: +61-7-3020-0900
Richard Owen
Investor & Community Relations Manager
WestSide Corporation Limited
Tel: +61-7-3020-0900
Mob: +61-412-869-937
Email: richard.owen@westsidecorporation.com
| ||
|
