LONDON (ShareCast) - (Sharecast News) - Exploration and production firm Oilex has agreed to buy Senex Energy's interest as the operator of 27 petroleum retention licenses in the Cooper-Eromanga Basins of South Australia.
Oilex said it had been actively reviewing the basin for more than two years given its high exploration success rate, low cost development pathways and under-explored and under-developed nature.

The AIMI-listed company said the transaction was "a major step forward", providing it with a material position in the established Northern Fairway and the Paning Tight Gas Discovery contained within.

Managing director Joe Salomon said: "In acquiring the Paning Tight Gas Discovery, this provides the company with operatorship and 100% ownership of this discovery and fits the company's knowledge and experience in drilling and appraising tight gas.

"Equally, the robust gas pricing in Eastern Australia provide a great basis for the commercial potential for the Paning Discovery. The basin is well endowed with infrastructure providing for attractive low-cost discovery and development for Oilex."

As of 0850 BST, Oilex shares had inched back 0.44% to 0.27p.

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