MEO reports Indonesian operations

The following is an excerpt from Australian firm MEO Australia Limited quarterly activities ended June, 2011 released on Wednesday.

South Madura PSC (MEO 30%)
On 27th June MEO announced that it had executed a binding sales and purchase agreement to acquire all of the shares of South Madura Exploration Company which has a 30% interest in the South Madura PSC from Cooper Energy for cash consideration of US$0.5 million.

Seruway PSC (MEO 100%)
On 28th June, MEO announced that it had executed a binding sales and purchase agreement to acquire all of the shares in Transworld Seruway Exploration Limited which holds a 100% interest in the Seruway PSC, offshore North Sumatra from Transworld Exploration Limited for an initial cash consideration of US$5.0 million. The PSC contains two existing gas discoveries - Gurame & Kuala Langsa - and is strategically situated in close proximity to underutilized LNG infrastructure. MEO has committed to acquiring 700 km2 3D seismic and drill one well by the end of 2012.

New Ventures
Two transactions closed late in the quarter resulting in the addition of two Indonesian Production Sharing Contracts (PSC?s). A number of other opportunities were evaluated, however did not make it through MEO?s rigorous due diligence process or meet strict commercial hurdles. (end of edited excerpt)