Dukas Progress Update
Brisbane, Feb 23, 2021 AEST (ABN Newswire) - Central Petroleum Limited (
ASX:CTP) (C9J:FRA) (CNPTF:OTCMKTS) has been advised by Santos QNT Pty Ltd (ASX:STO) as the Operator of the EP112 Joint Venture ("EP112 JV") (Santos 70% / Central 30%) that it requires further time to complete technical studies before a proposal can be put forward for EP112 JV approval in relation to further drilling at the Dukas prospect. No definitive guidance has been provided by Santos in relation to timing for EP112 JV approval on the Dukas drilling program.
As Central announced on 16 July 2020, the intention of the EP112 JV was to make a decision on the Dukas drilling program by the end of 2020. Central is disappointed that no drilling proposal has been put forward but recognises the need for technical confidence when contemplating such a costly onshore well. A decision on the Dukas drilling program remains outstanding at this time.
As the minority non-Operator partner in the EP112 JV, Central has little control over the timing for drilling at Dukas, although the minimum permit commitment requires a well to be drilled by mid-December 2022.
In the interim, Central will focus its efforts on the large sub-salt and potentially shallower targets in EP115 in the Amadeus Basin, including the Zevon prospect, in which Central holds a 100% interest.
Managing Director and CEO of Central, Leon Devaney commented, "The delay in progressing a drilling program at the Dukas prospect is frustrating but it is beyond Central's control. We will continue to work constructively with Santos to accelerate an EP112 JV decision. In the meantime we will focus our exploration activities on EP115 where we think the sub-salt prospects could be larger and less complex and where we have better control over the pace of exploration." Mr Devaney said.
About Central Petroleum Limited
Central Petroleum Limited (
ASX:CTP) is an established ASX-listed Australian oil and gas producer (ASX:CTP) with exploration and appraisal permits in the Northern Territory (NT). Central has grown to become the largest onshore gas operator in the NT, supplying residential and industrial customers in the NT and wider Australian east coast market.
Central is seeking to become a major domestic energy supplier, in addition to helium and naturally occurring hydrogen, with exploration, appraisal and development plans across 169,112 km2 of tenements the NT, including some of Australia's largest known onshore conventional gas prospects in the Amadeus Basin.
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