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Oil contract secured

Staff Reporter | 5:50 AM | |||
AUSTRALIAN oil and gas company, New Guinea Energy Ltd has announced that its 50 per cent joint venture with Maps Tuna Ltd, Western Drilling Ltd, has signed a contract with a third party for the use of Western Drilling Ltd’s SL 7 Heli Rig and camp (Rig) within Papua New Guinea.
Western Drilling Ltd has agreed terms for a single well that would see the Rig deployed for approximately 150 days, with an option for a second well that could extend the contract by another 150 days. Mobilisation of the Rig is planned for the fourth quarter of 2013.
NGE Chief Executive Officer, Grant Worner commented: “We are delighted that deployment of the drilling rig will provide employment opportunities for the people of PNG while supporting the growth of the oil and gas industry within the country.
In the current economic conditions, junior explorers are finding it difficult and expensive to access equity funding for their activities. The dividends that NGE will receive from WDL from this contract will be a welcome source of additional revenue in 2014