(Alliance News) - Mosman Oil & Gas Ltd on Tuesday said it has agreed to amend the farm-in agreement, extending a termination date.
Mosman is an oil exploration, development, and production company with projects in the US and Australia. Its shares were down 3.3% to 0.017 pence each in London on Tuesday morning.
In October, Mosman said it had signed a farm-in agreement with Greenvale Energy Ltd subsidiary Greenvale Gold Pty Ltd, to fund seismic and drilling on Mosman's EP 145 project in Australia's Northern Territory. Mosman will retain a 25% working interest in EP 145, while Greenvale will earn a 75% interest.
On Tuesday, Mosman & Greenvale Gas Ltd said it has agreed to amend the farm-in agreement so that the right for either party to terminate the agreement is changed from January 31 to March 30.
This is because the approval process is progressing but not yet concluded, Mosman said.
The amendment also clarifies that Mosman will pay any government costs in the interim period, and GRV will reimburse these costs after completion.
Chief Executive Andy Carroll said: "This is a sensible minor amendment given the approval process is progressing. We are still on track to acquire seismic in 2024 and then drill in 2025 to test the helium, hydrogen and hydrocarbon potential in this area."
By Sophie Rose, Alliance News senior reporter
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