Tap mulling Zola options

Weighing up options: Tap will not rush into a decision on its future plans for the Zola discovery, according to Troy Hayden

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Josh Lewis

, Josh Lewis

 24 February 2012 04:17 GMT

The chief executive of Tap Oil said the Australian company was not rushing into any decisions on the development of the Zola gas discovery, off Western Australia.

Troy Hayden said if the joint venture went ahead with a liquefied natural gas development there could be a seven to 10 year wait for first revenue from the project as well as uncertainty over development costs and timetable.

“Consequently, we are determining the market price for this asset, which will lead us to discover at which point we can generate maximum value for Zola,” he said in a letter to shareholders on Friday.

“As the company has sufficient cash and debt capacity to meet all of our commitments until Manora’s first production…

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