DENVER – Magellan Petroleum Corp. (NASDAQ: MPET) has contracted Seabird Exploration FZ-LLC to use the seismic recording vessel Voyager Explorer on a 75 sq. mi (194 sq. km) 3-D and an 84 sq. mi (218 sq2 km) 2-D seismic survey within Magellan's NT/P82 Exploration Permit offshore Australia.
The seismic survey is expected to start in second week of December 2012 and to take approximately two weeks. Magellan plans to process and analyze the seismic data over the following three months.
NT/P82 is in the Bonaparte basin, 160 mi (257 km) northwest of Darwin, Northern Territory. The water depths range from 55 to 400 ft. (18 to 122 m). Under the terms of the license and pending the results of the seismic survey, Magellan is required to drill a well by May 2015. The Company expects to incur a total of approximately $4.5 million on shooting, processing, and analyzing the seismic data.
"This is an important milestone in Magellan's strategy to prove up the value of its assets,” said Tom Wilson, president and CEO of Magellan. “Acquiring 3-D seismic for this block will give us a much better understanding of the nature and size of the potential hydrocarbon resources and will allow us to seek value from this asset. Magellan expects to provide further information related to the results of this seismic survey and its plans for the future development of this license by the end of April 2013.”