Under the farm-out agreement, Siam Moeco will acquire a 100% working interest in the onshore block and take over from Carnarvon as operator.
Consideration for the block includes a payment of US$8.5 million (A$8.2 m illion)to Carnarvon and Sun upon starting commercial production. The companies will also receive a 2% overriding royalty interest (respective to their share of equity), capped at US$10 million.
Carnarvon
