NSW Governments Offers to Buy Metgasco's CSG Licences

Metgasco on Monday said the New South Wales (NSW) government has offered to buy-back company’s three Northern Rivers petroleum exploration licences.

The government has offered A$25 million for PEL 13, PEL 16 and PEL 426, and in doing so also settle legal disputes with Metgasco, the company said.

The settlement offer comes after protracted discussions that have been ongoing since July this year.  

Metgasco’s shareholders must vote for the offer to be accepted.  

The company stated that Board of Directors has given careful consideration to the offer and unanimously believes that acceptance is in the company’s best interest. 

The NSW government will pay A$25 million in return for cancellation of the three licences, Metgasco withdrawing its development application, and withdrawing its legal action in relation to the unlawful suspension of its Rosella drilling approval.