Beach Energy advises that it has reached an agreement with OMVGSB to acquire a30% participating interest in exploration permitPEP50119in the Great SouthBasin, offshore New Zealand.

Under the agreement, Beach will acquire a 30% participating interest in the permit in exchange for funding a 30%share of the Tawhaki-1 well cost and the associated work program and budget. The estimated capital exposure is approximately $25million net to Beach.

The transaction is subject to the New Zealand government and regulator approval. Following completion, Beach’s interest in PEP50119 will be 30%, with operator OMV holding a 52.93% interest and Mitsui E&P Australia holding 17.07%.TawhakiprospectThe PEP50119exploration permit contains the large Tawhakiprospectand other leads.

Tawhaki is a basement drape structural trapwith up to 470km2under structural closure. The prospect is defined by modern, high-quality 3D seismic data and interpreted to have Cretaceous reservoirs of similar age and quality to the excellent sandstones encountered in Caravel-1, approximately 130km to the north in PEP38264 (Beach 37.5% and operator).

The Tawhaki-1 well is planned to be drilled in early calendar 2020 by the COSL Prospector rig as part of a larger OMV-led drilling campaign