AED to farm-out Papua PSC

Australian firm AED Oil Limited said on Thursday that it has decided to seek a joint venture partner in the assessment and development of the Rombebai PSC in Papua.

?A number of parties have expressed interest in Gesa and a formal process of farm-out will commence shortly,? the company said in statement.

AED now has a 100 percent interest in the block afer acquiring it from Nations Petroleum Company Limited on 4 March, 2010.

The Rombebai PSC covers an area of 5,795 sq kms and is located in the northern coasts of Papua. The PSC contains the large Gesa mega structure. Five exploration wells have been drilled within the PSC.

AED is focused on the interpretation of 2D seismic over the large Gesa structure and is expected to spud the first Gesa well (Kare-1) in late 2010/ or early 2011

According to the company, Gesa structure has a potential in-place prospect resource of 5-20 Tcf. (denny)