Central Petroleum Limited says that negotiations concerning a potential farmin by Advent Energy Limited have been terminated by resolution of the Board of Directors of Central.

A formal farmin agreement with joint operating agreement concerning a farmin by Petroleum Exploration Australia Limited is anticipated to be executed this coming week. The agreement will involve the funding at the 40% level of up to $3 million of seismic and 3 wells on each of Central’s permits.

Negotiations with Trident Energy Limited concerning at least EP 115 are continuing and the Company is in discussion with a number of other potential farmin partners.

The He Nuclear Limited farmout of the Mt Kitty and Magee prospects continues with the Mt Kitty prospect anticipated to be drilled in Q3 calendar 2008 and new seismic over Magee to be acquired during Q1 calendar 2008.

Capital raising via the shareholder approved rolling convertible bond series with DB Zwirn is anticipated to commence by the end of February or early March.

An initial inspection of Hunt Rig #2 by Central’s new General Manager Drilling, Operations and Production, Mr Randy Frazier, will take place next week.

Spudding of Central’s first exploration well 2008 is anticipated in April.

Tags: Central Petroleum Limited