Oilex Ltd, in its capacity as Operator, on behalf of the Joint Venture Participants in the Joint Petroleum Development Area 06-103 Production Sharing Contract, submitted a request to the Autoridade Nacional do Petroleo to terminate the PSC by mutual agreement in accordance with its terms and without penalty or claim on 12 July 2013.

The Request to Terminate followed Joint Venture concerns over the security of PSC tenure as a result of developments within the JPDA, including JPDA (06-103), which are outside the control and influence of the Joint Venture Participants, including: •existence of separate unilateral rights to terminate the Certain Maritime Arrangements in the Timor Sea arising in 2013 in favour of both the Government of Timor Leste and the Government of Australia; and •formal arbitration proceedings being initiated by the Timor Leste Government against the Government of Australia to have CMATS declared void ab initio.

Tags: Oilex Ltd