Highlights

• Bass has executed a conditional Sale and Purchase Agreement with a subsidiary of Beach Energy to acquire its interest in eight Cooper Basin tenements for cash consideration of A$650,000
• Acquired assets include the producing and earnings accretive Worrior and Padulla oil fields and properties which contain multiple appraisal and prospective exploration targets
• Bass to become sole or majority owner of all tenements, post concurrent completion of Beach Transaction and previously announced Cooper Energy Limited Transaction
• Bass to acquire 2P reserves of approximately 200,000 barrels of oil and 2C contingent resources of approximately 540,000 barrels of oil (including Cooper Energy interests)
• Bass has received irrevocable commitments from sophisticated and professional investors to raise $1.2 million via the placement of 800 million Bass shares at $0.0015 per share (subject to shareholder approval), which included a 1:3 BASO
• Melbourne boutique investment management firm, Peak Asset Management, led the raise
• The transaction significantly expands Bass’ footprint in the Cooper Basin and the Company will become the newest owner-operator in the region

Bass Oil has entered into a conditional Sale and Purchase Agreement (“SPA”) with a subsidiary of Beach Energy for its subsidiary to acquire a portfolio of Cooper Basin assets for cash consideration of A$650,000 and assumption of future restoration liabilities. In conjunction, Bass has successfully received irrevocable commitments to raise $1.2 million (before costs) from sophisticated and professional investors through the issue of 800 million new ordinary shares (“Shares”) at $0.0015 per share, subject to shareholder approval. Placement participants will receive one free attaching option for every three shares successfully subscribed for under the Placement, exercisable at $0.004 on or before 30 September 2024 (“Options”) also subject to shareholder approval.

The assets to be acquired include Beach’s interest in the producing Worrior and Padulla oil fields and a number of properties that contain prospective appraisal and exploration opportunities. On completion, the Company will own a 74%-100% interest in eight Cooper Basin tenements, representing one of the largest acreage holdings in the core of the Cooper Basin. The Beach Transaction remains subject to a number of conditions precedent, including relevant regulatory approvals.

Relative to the proposed Cooper Energy Transaction (announced 12 July 2021), Bass will increase its interest in the producing Worrior oil field from 30% to 100% and add the producing Padulla oil field (100%) to its portfolio. The fields are producing ~75 bopd at a net margin of ~A$30 per barrel at a Brent oil price of ~US$80. The fields will also provide 2P reserves of almost 200,000 barrels of oil and 2C contingent resources of approximately 540,000 barrels of oil. Bass has developed a capital efficient work program consisting of three work overs aimed at materially increasing production and converting the 2C contingent resources to 2P reserves within 6 to 12 months after contemporaneous completion of the Beach and Cooper Transactions.

Bass Oil Limited Managing Director, Mr Tino Guglielmo, commented: 
“Bass is pleased to announce this acquisition as it is an important step towards becoming a significant owner-operator in the Cooper Basin. Bass has a track record of extracting value from mature fields and is excited by the potential of this portfolio. In addition, we are taking this long awaited opportunity to complete a share consolidation and minimum holding buy-back, given the transformative nature of this milestone and our aim to build a successful and profitable oil and gas business.”

KeyFacts Energy: Beach Energy Australia country profile