Exoma Inks Farmin Agreement with CNOOC

Exoma Energy Limited has executed a farmin agreement, with a minimum combined value of approximately A$23.4 million, with China National Offshore Oil Corporation via its Australian subsidiary, CNOOC Galilee Gas Company Pty Ltd (CNOOC).  

Under the terms of the Supplemental Farmin Agreement, CNOOC will increase its participating interest from 50% to 60% in Exoma’s ATP's 991, 996, 999, 1005 and 1008 and, subject to grant, new ATPs 1127, 1130, 1137 and 1150, situated in the Galilee and Eromanga Basins in Central Queensland.    

CNOOC will earn its additional 10% interest by contributing a further A $12.7 million towards Exoma’s share of exploration and appraisal expenditure during the Additional Farmin Period, which expires on 31 December 2015.

This Supplemental Farmin Agreement follows on from the Farmin Agreement entered into by Exoma and CNOOC in December 2010 under which CNOOC agreed to fund AUD$50m towards exploration and appraisal costs to earn its original 50% interest in Exoma’s ATPs.