Central Petroleum, partners sign gas deal with Power and Water Corporation

Sydney-listed Central Petroleum and its Mereenie joint venture partners have finalised an agreement with Power and Water Corporation for the supply of up to 8.6 petajoules (PJ) of gas, with 2.1 PJ net to Central, to the end of 2024, Central announced on April 12.

The Mereenie joint venture consists of Central Petroleum, Macquarie Mereenie, New Zealand Oil and Gas, and Cue Energy. The Mereenie gas field, situated in the Northern Territory, stands as the largest onshore gas field in the region.

In February this year, Horizon Oil entered into an agreement with Macquarie Mereenie to acquire a 25% non-operated interest in the OL4 and OL5 development licenses, encompassing the Mereenie gas field.

Central Petroleum, as the operator, holds a 25% stake, while Cue Energy maintains a 7.5% participating interest. Macquarie Mereenie and New Zealand Oil & Gas hold a 50% and 17.5% participating interest, respectively.

Moreover, alongside Horizon Oil, New Zealand Oil & Gas has also agreed to acquire a 25% stake in the project from Macquarie Mereenie, which is strategically exiting the project.