re: Ann: Quarterly Activity Report to 31 Marc... Hi ronstieb, a...

re: Ann: Quarterly Activity Report to 31 Marc... Hi ronstieb, a thumbs up from me.

Something to distract us a little from the big elephant Artemis in the room.

Bit of info on two other permits we are involved in. A copy and paste for the punters.

VICP41, that you mentioned

BAS 45% and operator
MOG 30% (reduced to 25%, subject to farmin by OBL)
SER 25% (reduced to 17.5% subject to farmin by OBL)
OBL 12.5% (subject to earning pursuant to farmout by MOB &SER)

From OBL

GIPPSLAND BASIN
PERMIT VIC/P41
Ownership (OBL - Rights upto 12.5%)
Update
During the quarter geological and geophysical studies continue with work likely increasing during the next quarter.
The Company is pleased to advise that as a result of the Vic/P41 Joint Venture Meeting held on 28 April 2010, OBL was appointed agent on behalf of the Vic/P41 joint venture for Managing the Farm-Out.

Broad information of the key exploration attributes of this Farm-In opportunity will be presented in a separate ASX Announcement and duly qualified Exploration & Production Companies or International Independents seeking an attractive strategic investment in one of Australias premier hydrocarbon provinces should contact OBL directly

The Company effectively holds a potentially low cost Drilling Option of upto 12.5% of this strategic drill-ready permit.

Recently, on 22 April 2010, Esso Australia, an ExxonMobil subsidiary, reported that they had encountered oil and gas at the South East Remora-1 exploration wildcat well. Located 35 km off the Victorian coast in Bass Strait and 3 km north of the Marlin Platform, the well was drilled in 57 metres of water to a total depth of 3,602 metres below sea level, the wildcat discovered oil and gas in the Latrobe and Golden Beach groups in the Gippsland Basin. The well is included in the Gippsland Basin Joint Venture between Esso Australia Resources (50%, operator) and BHP Billiton Petroleum (Bass Strait) (50%). Data analysis and additional studies are being conducted to evaluate the discovery.

The importance of the South East Remora-1 discovery is that it has been made on the downthrown side of the Rosedale Fault due West to but on a similar geological setting to the Vic/P41 Kipling/Benchley Prospects and the nearby Kipper Gasfield. Verifying and derisking the Rosedale Fault play type prognosed by the Vic/P41 JVPs.

From SER

Vic/P41 contains a number of large prospects defined on 3D seismic and which are located on extensions of two proven Gippsland Basin trends:

The eastward trending extension of the Rosedale Fault system sets up prospects analogous to the Kipper oil and gas field (first production scheduled for 2011 for ESSO et al). Key prospects on this trend are:

Kipling assessed as having P50 recoverable prospective resources of 124 milion barrels of oil and 620 billion cubic feet of gas.
Benchley assessed as having P50 recoverable prospective resources of 184 million barrels of oil and 1.4 trillion cubic feet of gas.
Lead A in the east of the permit is mapped on 2D seismic as a significant feature.

Further south in the permit, a second trend extension sets up plays that are anolagous to the Basker/Manta/Gummy oil and gas fields (in production since December 2006 for ROC et al). Along the trend, the Oscar prospects are defined on 3D seismic and are assessed as having combined P50 recoverable prospective resources of over 40 million barrels of oil.

The scale of potential discoveries at these and other Vic/P41 prospects and leads is significant.

From BAS

Eastern Gippsland Basin offshore - Vic/P41, BAS 45% and Operator plus Vic/P66, BAS 60%
and Operator
Permits Vic/P41 and Vic/P66 are located adjacent to each other in the east of the offshore Gippsland
Basin, from approximately 40 km south of the Victorian coast. Together, these permits provide BAS
with exposure to proven Gippsland trends from adjacent areas as they traverse across the BAS
permits and extend further out in to the basin.
BAS maps extensions of two trends in its East Gippsland permits:
the eastward extension Rosedale Fault system sets up prospects analogous to the Kipper oil
and gas field (first production scheduled for 2011)
further south, a second trend extension is analogous to the Basker / Manta / Gummy oil and
gas fields (in production since December 2006 for Roc Oil and partners) .
Vic/P41 contains a number of large prospects defined on modern 3D seismic notably Kipling,
Benchley and Oscar.
The recent ExxonMobil/BHP Billiton discovery at SE Remora-1 provides new impetus to exploration of
these trends and the nearby investment in the Kipper development is directly relevant to the Kipling
and Benchley prospects in Vic/P41.
While farmout discussions are ongoing, the Vic/P41 joint venture has also moved to intensify its
marketing efforts and has appointed Oil Basins Limited as agent to identify new sources of farmin
investment for this permit.
In the deeper water areas to the east, 2D seismic has confirmed the potential of the Vic/P41 Lead A
prospect. Lead A is located on a further extension of the Rosedale Fault trend and is also interpreted
to extend in to Vic/P66. Seismic mapping in Vic/P66 confirms this potential and it is planned that this
trend will become a focus of future work in the permit.



VICP47

BAS 40% and operator
MOG 35%
SER 25%


From BAS

Gippsland Basin offshore - Vic/P47, BAS 40% and Operator
The Vic/P47 exploration permit is located in the offshore Gippsland Basin, 14 km from the coast and
south of the Victorian town of Orbost, with water depths ranging up to 80 metres.
Vic/P47 contains the Judith and Moby gas discoveries. Judith contains certified gas resources
(Gaffney Cline & Associates 2008) and both Judith and Moby are in close proximity to existing and
planned infrastructure in adjacent licences. 22 km to the west, the Longtom Field has commenced
gas production the first production from the same geological unit as the Judith discovery.
As mentioned above, a short distance to the south of the Judith field, ExxonMobil is currently drilling
Kipper field development wells with a target of first production of gas and liquids in 2011.
Discussions with potential Vic/P47 farminees are ongoing.

From SER

Vic/P47 is located in the offshore Gippsland Basin, approximately 5 km offshore, south of the Victorian town of Orbost. Water depths range from 20 to 80 metres and the permit covers an area of approximately 718 square kilometres.
The Vic/P47 joint venture has announced that the Joint Authority has formally granted a new five year renewal term for permit Vic/P47. The Vic/P47 joint venture has met or exceeded all permits commitments during the first six year permit term. The minimum work requirements for the renewal term are modest, with only seismic reprocessing and studies committed in the first three years.
The permit contains the Judith Gas Discovery, which was drilled by Shell in 1989, but not production tested or appraised. During June 2008, consultants Gaffney, Cline & Associates (GCA) completed an independent resource certification of the Judith Gas Discovery and associated prospects in Vic/P47. GCA reported that a gross gas column of 290 metres can be interpreted from Judith-1 electric log data and GCAs petrophysical analysis indicated 135.5 metres of net gas pay in the Judith-1 well. GCAs certification provides independent confirmation that, subject to successful appraisal, the Judith Gas Discovery has the resource volume potential to underpin a commercial development.

The Vic/P47 joint venture is currently seeking farmin parties to fund the forward exploration programme and has attracted interest. While no offers have been received to date, evaluation and assessment by third parties is continuing


So folks, there's something else to add a little to our SP. Something else for us to follow and something else to get this thread humming a little.

Good luck to us all.

favco

I'm long term on this one.