Hibiscus Petroleum's Australia JV granted 5-year renewal term

PETALING JAYA: Hibiscus Petroleum Bhd's 78.3%-owned VIC/P57 joint venture has been granted a renewal term of five years from The Australian National Offshore Petroleum Titles Administrator for the VIC/P57 exploration permit located in the northwest part of the offshore Gippsland Basin, Australia.
It is effective from March 7, 2018 to March 6, 2023.
The VIC/P57 joint venture comprises Carnarvon Hibiscus Pty Ltd (CHPL), Gippsland Hibiscus Pty Ltd (GHP) and 3D Oil Limited (TDO). CHPL and GHP are indirect wholly owned subsidiaries of Hibiscus Petroleum, which also holds a 13% stake in TDO. In total, the group has a 78.3% interest in VIC/P57.
Following 18 months of comprehensive prospectivity review by TDO, as commissioned by CHPL, the evaluation revealed significant remaining commercial potential within VIC/P57, with seven leads and prospects identified.
The Felix prospect, located between the Wirrah discovery and the Moonfish Field, is currently the lowest risk target with volumetric estimates for the entire structure resulting in a best estimate prospective resource of 24 MMbbls (million barrels) oil recoverable (16MMbbls within VIC/P57).
The review carried out also uncovered a new gas prospect, Pointer, within the high-quality reservoirs of the Latrobe Group. The Pointer prospect has been determined as the lowest risk gas target with volumetric calculations conducted for the entire feature resulting in a best estimate of 250 Bcf (billion cubic feet) recoverable gas (235 Bcf within VIC/P57). It is an additional benefit that Pointer is optimally located to rapidly deliver gas to a deprived east coast gas market.
The VIC/P57 work programme is designed to de-risk and high-grade the prospect inventory, particularly Felix and Pointer, to mature to drill-ready prospects, while assessing the potential for additional gas prospectivity within the stratigraphy of the permit.
Hibiscus Petroleum managing director Dr Kenneth Pereira said the group is excited about the newly identified Pointer prospect which from seismic data has strong indications of the presence of gas.
"The Australian gas market is currently undersupplied and premium prices are currently being paid for gas in Southeast Australia. Hence a potential discovery at Pointer in due course would be a likely material addition to our current revenue stream," he said in a statement.