Canning Basin- Gulliver Productions

EP104, R1 & L15

About the Lennard Shelf Blocks (EP104, R1, L15)

The Company has acquired 100% of the shares in Gulliver, which holds 89.23%, 85.23% and 85.40% participating interests in EP104, R1 and L15 respectively. Indigo holds the remaining interests in the permits and has agreed to assign these to Gulliver, subject to the granting of the approvals required under WA petroleum laws. Upon satisfaction of those conditions, Gulliver will hold a 100% interest in the Lennard Shelf Block assets.

Figure 2. Location of the Lennard Shelf Block.

The Lennard Shelf Blocks consist of Permian-Carboniferous and Devonian plays with carbonate play potential.

L15 is a production licence granted in 2010 and contains the West Kora oilfield with production history. R1 contains the Point Torment-1 discovery and the most recent Stokes Bay-1 and Valentine-1 wells, which penetrated significant hydrocarbon bearing zones in both the Anderson and Laurel Formations. Valentine-1 also encountered significant geo-pressured hydrocarbon shows in the deeper May River Shale that were never originally tested and could potentially be developed via high angle wells. The main feature of EP104 is the untested Upper Devonian King Sound embayment. Regional mapping suggests the shelfal palaeo-environment is favorable for higher energy carbonates and secondary reservoir development similar to the Blina and Ungani oil fields.

Prospective Remaining Reserves and Resources of West Kora Oilfield in L15

An estimation of oil reserves and contingent oil resource for the West Kora Oilfield in L15 and Point Torment gas discover in R1 was provided by Energetica Consulting in September 2015 (refer to Key ASX releases dated on 30 September 2015) and reviewed by Rey. The estimation is based on the vintage wells in the permit and relevant studies. The estimated remaining reserves and resources is listed in Table 1 below.

Table 1: Reserves and Contingent Resources estimation of West Kora Oilfield (estimate prepared by Energetica Consulting in September 2015, refer to Key ASX releases dated on 30 September 2015).

  1. mmSTBO – million stock tank barrels of oil.
  2. BCF – billion cube feet

The remaining reserves and resources are the estimated quantities of petroleum that may be potentially recovered by the application of a future development project and relate to undiscovered accumulations. These estimates have both an associated risk of discovery and a risk of development. Further exploration, appraisal and evaluation is required to determine the existence of a significant quantity of potentially moveable hydrocarbons.