(MENAFN - ABN Newswire)
MEO Australia Limited (ASX:MEO) (OTCQX:MEOAY) advises that the Thailand Department of Mineral Fuels, Ministry of Energy has formally approved the transfer of a 50% participating interest in the Gulf of Thailand G2/48 Concession from Pearl Oil Offshore Limited, an affiliate of Mubadala Petroleum (Mubadala), to Rayong Offshore Exploration Ltd (ROEL), a wholly owned subsidiary of MEO. Receipt of this approval represents completion of the transaction announced on 27th February 2012. Operatorship of the concession remains with Mubadala.
The G2/48 exploration concession covers 9,449 km2 in shallow waters of the Gulf of Thailand, proximal to the producing Jasmine oil field and nearby the Manora oil development. The G2/48 concession contains the Rayong Basin which has similar geological elements to nearby basins which host oil discoveries.
The joint venture is well advanced in drilling preparations with Anchan-1 scheduled to commence on or about 11th November 2012 and Sainampueng-1 approximately 19th November 2012. These wells fulfil the Year 5 and 6 commitments respectively.
MEO's CEO and MD Jrgen Hendrich commented on the announcement:
"These regulatory approvals represent the final step in completing this transaction. We are pleased to be partnering with Mubadala Petroleum, a very experienced Gulf of Thailand operator.
MEO looks forward to testing the oil potential of the Rayong Basin. The Operator has mapped 23 prospects and leads with a mean unrisked potential estimated at over 100 MMstb."