Timor sea acreages

JPDA 06-103: In late August 2006, Oilex as Operator for the Joint Venture, with bidding group consisting of GSPC (25%), VIL (25%), BPCL (25%) and Oilex (25%), successfully bid for application block JPDA 06-103. The block was offered in a competitive bidding round that closed on 26 May 2006. The Production Sharing Contract ("PSC") was signed at a ceremony in Dili, Timor-Leste on 16 November 2006 with the effective date as 15 Jan. 2007.

The Timor Sea Designated Authority was created on 2nd April 2003, pursuant to the Timor Sea Treaty between the Governments of Timor-Leste and Australia. The role of the TSDA is to administer the JPDA on behalf of the Governments of Timor-Leste and Australia.

The acreage is located in the Flamingo Trough, Joint Petroleum Development Area ("JPDA") between Timor-Leste and Australia. JPDA 06-103 is situated to the east of the Laminaria, Corallina, Kakatua, KudaTasi and Elang discoveries /oil and gas fields and to the north of the Bayu-Undan gas condensate field in the northern Timor Sea. Videocon, along with BPCL and GSPC, entered into a Farm Out Agreement with Pan Pacific Petroleum (JPDA 06-103) Pty Ltd, in August 2009 wherein Videocon had farmed down 5% of its 25% Participating Interest in the Block, reducing its financial obligations while maintaining its exposure to the significant exploration potential.

Significant exploration was done in the block including acquisition of more than 3000 sq km 3D coverage and drilling of two wells. However, both the wells did not encounter any commercially significant hydrocarbons. The JV is focussing its efforts towards further exploration in the block.