Georgina Energy (GEX) , an Australia-focused natural resources explorer, announced the full acquisition of EPA155 (Mt Winter) from Mosman Oil & Gas' subsidiary Oilco Pty, pending finalisation of the sales contract. The EPA155 Mt Winter prospect is located in the Amadeus Basin, Northern Territory, Australia.
The consideration for the asset AU$350k, to be funded from Georgina's existing cash reserves. Georgina already holds a 75% stake in EPA155, one of its core assets currently advancing toward permitting and production. The newly announced deal will transfer the remaining 25% WI to Georgina, giving it full ownership of EPA155.
Under the deal, Georgina will be entitled to 100% of returns from any future production, less a 2.5% royalty to Mosman. Additional production royalties will include 10% of sales receipts (less certain deductions) to the Northern Territory government under the Petroleum Royalty Act 2023 NT, and c. 3-4% (negotiable) on the same basis to the Central Land Council.
Anthony Hamilton, CEO of Georgina Energy, commenting: "The agreement to acquire 100% of the revised Mt Winter exploration permit has significant potential benefits to the Company for a very reasonable price. I'd like to thank the Mosman team for their co-operation to this point, working together to accomplish our respective objectives. This deal further strengthens Georgina's portfolio and increases the potential shareholder value from this asset. This slight change in the ownership structure will not affect our expected timeline to develop Mt Winter and we are progressing well with the outstanding requirements."
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Georgina has announced its pending full acquisition of the EPA155 Mt Winter prospect in the Amadeus Basin, Northern Territory, increasing its stake from the current 75% WI. With full ownership already secured for its other core asset, the EP513 Hussar prospect in the Officer Basin, Western Australia, this move brings Georgina's entire portfolio under 100% ownership.
Georgina is buying the remainder of EPA155 WI from Mosman Oil & Gas for a relatively low price, which is in line with the latter's disposal strategy, having announced similar sales earlier in January 2025. The deal will not affect GEX's permitting and development timeline for Mt Winter, while enabling 100% returns from any future production minus a modest 2.5% royalty. Markets welcomed the news, sending GEX shares as much as 30% higher, consolidating to c. 13% at market close.
As previously announced in December 2024, the grant of EPA155 to GEX has been greenlit by the Traditional Owners, with final approval by the government expected to take 2-3 months. GEX is currently negotiating the final draft of the ALRA agreement, required for the ratification of EPA155 by the Northern Territory government. After Mt Winter's permit is granted, GEX will initiate a full programme to take it to a pre-drill stage. This includes finalising well design, site preparation, and pre-drill regulatory and operational requirements.
By latest estimation, Mt Winter hosts unrisked 2U prospective resources of 148 bcfg of helium, 135 bcfg of hydrogen, and 1.22 tcgfe of hydrocarbons. GEX has engaged independent consultants to do a comprehensive review of Mt Winter's resource potential, incorporating the most recent data, with a final report targeted for March 2025.
Additionally, GEX is actively negotiating farm-in agreements with two major oil and gas companies, targeting other areas with proven high concentrations of helium, hydrogen and hydrocarbons. Subject to successful binding farm-ins, these additional targets will become priority areas following completion of work at Hussar and Mt Winter.
GEX remains fully funded for its Australian work programmes from its recent listing. GEX received c. £4.2m in August 2024 following its July 31, 2024 admission to trading on the LSE Main Market.
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