AWE Limited has completed the sale of an 11.25% interest in T/L1 (BassGas infrastructure & Yolla field) and a 9.75% interest in T/18P (Trefoil field) to Prize Petroleum Company Limited, a wholly owned subsidiary of Hindustan Petroleum Corporation Limited.
Total consideration for the sale was $85 million with payment structured in three tranches:
a) A deposit of $16 million that was received in financial year 2013-14;
b) A payment of $64 million that was received on completion of the sale; and
c) A further $5 million deferred payment payable upon meeting the following conditions:
(i) $2.5 million on completion of the BassGas Mid Life Enhancement (MLE) project (drilling of
two development wells and installation of gas compression);
(ii) $2.5 million if the MLE project costs do not exceed an agreed threshold.