It comprises the three graticular blocks from the original permit area, which include the Judith and Moby gas discoveries. This area contains about 160 square kilometers of existing 3D seismic data and a commitment to reprocess this data is included in the minimum work requirements of the renewed permit.

The Vic/P47 permit is located in the offshore Gippsland basin, 14 kilometers from the coast and south of the Victorian town of Orbost, with water depths ranging up to 80 meters. The Judith gas resource was certified by international consultants Gaffney Cline & Associates (GCA) and both Judith and Moby Oil & Gas are in close proximity to existing and planned infrastructure in adjacent licenses. The Longtom field to the west has commenced gas production and the Kipper field to the south is being developed for first gas production in 2011.

During June 2008, GCA completed an independent resource certification of the Judith gas discovery and associated prospects in Vic/P47. GCA reported that a gross gas column of 290 meters can be interpreted from Judith-1 electric log data and GCA’s petrophysical analysis indicated 135.5 meters of net gas pay in the Judith-1 well. GCA estimated a ‘high’ or upside case of 1,735 Bscf (Contingent + Prospective Recoverable Gas Resources for the Greater Judith Area).

The GCA report also indicates a ‘best case’ estimate for the area around the Judith-1 discovery well of 312 Bscf (Contingent + Prospective Recoverable Gas Resources). This is the area that could be addressed by an initial appraisal drilling programme. Consultants RPS Energy have completed a study of Judith appraisal drilling options.

GCA’s certification provides independent confirmation that, subject to successful appraisal, the Judith gas discovery has the resource volume potential to underpin a commercial development.

By way of comparison, and as an indication of potential commerciality, 22 kilometers to the west of Judith, the Longtom field has been developed by Nexus Energy Ltd and is now in production.

Vic/P47 is held by a joint venture consisting of Bass Strait Oil Company Ltd 40% and operator, Moby Oil & Gas 35% and Strategic Energy Resources Limited 25%.