Page 15 - AsianOil Week 08 2023

AsianOil PROJECTS & COMPANIES AsianOil

Carnarvon offloads stakes in Dorado,

other Bedout basin licences

AUSTRALIA AUSTRALIA’S Carnarvon Energy announced Carnarvon will keep hold of a 20% interest in
on February 22 it would divest a 10% stake in the Pavo discovery as well as follow-up potential
Carnarvon is retaining its offshore Bedout basin blocks that include the at the WA-438-P exploration permit after the
some interest in the Dorada oilfield off Western Australia to Taiwan’s divestment is completed. It will also retain a 20%
licences. CPC. stake in the WA-436-P licence, and 10% shares
The assets that Carnarvon is offloading stakes in the WA-64-L, WA-435-P and WA-437-P
in include the WA-64-L production licence, permits.
which comprises Dorado, and the WA-435-P, "Carnarvon continues to progress its targeted
WA-436-P, WA-437-P and WA-438-P explora- debt financing process. To date, there has been
tion permits. Dorado is among the biggest off- a strong level of market interest across all the
shore oil discoveries in Western Australia, and potential funding sources for the Dorado devel-
Carnarvon, alongside operator Santos, has been opment," the company said.
progressing towards a final investment decision Carnarvon has been moving ahead with
(FID) on development. a broad range of possible sources of capital to
Carnarvon will receive $146mn in total cash part-fund its share of Dorado’s development.
consideration under the deal. That will include a Those options include traditional reserve-
$56mn upfront payment when the deal is closed, based, non-recourse senior debt facilities and
and a further carry of $90mn of Carnarvon’s for- alternative funding options, including junior
ward expenditure at the permits. or subordinated debt, offtake prepayment and
“The proceeds from the divestment, together royalties.
with prospective debt finance and Carnarvon’s "Carnarvon has received a strong level of
existing cash, will be used to fund Carnarvon’s market interest across all these sources of capital
share of the Dorado development costs along and will continue to progress these to deliver the
with further activities that include exploration in optimal balance of capital management while
the Bedout sub-basin and appraisal of the recent maximising risk-weighted value for sharehold-
Pavo discovery,” Carnarvon said. ers," it said. ™

Week 08 24•February•2023 www. NEWSBASE .com P15