Mosman Oil and Gas Limited has noted the fall in the Brent Oil Price, moving below USD40/bbl on 10 December 2015 and has remained below that level since then, with regard to its acquisition of the South Taranaki Energy Project in New Zealand. As a consequence, Mosman has elected to issue a Review Notice to Origin Energy Limited, under the terms of the Origin sale and purchase agreement.

As outlined in the SPA if the Brent Oil Price, as quoted on the Intercontinental Exchange, remains below USD 40/bbl for 15 consecutive (ICE) business days, there is the provision for either party to issue a Review Notice that will lead to good faith negotiations of amendments to the SPA. If there is no agreement within 30 days of a party's receipt of the Review Notice, either party has the option to terminate the SPA.

Tags: Mosman Oil and Gas Limited, Origin Energy