The directors and management of Strata-X Energy Ltd. announced that, pursuant to the Revised Heads of Agreement previously announced on 27 April 2020, Strata-X and farm-in partner Botsgas Pty Ltd. (Botgsas) have executed a Joint Operating Agreement (JOA) governing operations over the Serowe CSG Project in Botswana, Africa. On completion of the farm-in, Strata-X will retain 51% of the Project. The JOA appoints Botsgas as the operator of the project effective 1 January 2021 allowing the Company to focus on its 100% owned natural gas and hydrogen projects in Queensland. Strata-X staff and consultants that were employed by
Strata-X for the operations of the Serowe CSG Project will be employed by Botsgas from 1 January 2021. Terms of the JOA include that Botsgas must solely fund USD 4.6 million (AUD 6.1) of joint venture expenditures within 3 years of the Joint Operating Agreement being executed. One of the primary targets of the fully carried CSG appraisal and production testing program is to secure an unconditional gas sales contract to supply gas to a nearby power station.