Cooper Energy Ltd. has signed a Heads of Agreement (HoA) with O-I Australia defining the key terms for the sale of gas from the Sole gas field in the Gippsland Basin, Australia. The HoA is the first agreement for the supply of gas from Sole, which is currently in Front End Engineering and Design (FEED) in preparation for the Final Investment Decision (FID).
The HoA sets out the key commercial terms for the supply of gas of one petajoule (PJ) per annum for the lesser of eight years, or the life of the field, from Cooper Energy’s share of Sole production. The volume contracted represents 8 percent of the company’s share of the field‘s anticipated production.
Cooper Energy holds a 50 percent interest in Sole and the Orbost Gas Plant, from which the gas will be supplied to O-I Australia, with the balance being held by Santos Limited.