Next Investors logo grey

Pilot Energy (ASX:PGY) secures second Perth basin


Published 04-NOV-2015 15:09 P.M.


2 minute read

Hey! Looks like you have stumbled on the section of our website where we have archived articles from our old business model.

In 2019 the original founding team returned to run Next Investors, we changed our business model to only write about stocks we carefully research and are invested in for the long term.

The below articles were written under our previous business model. We have kept these articles online here for your reference.

Our new mission is to build a high performing ASX micro cap investment portfolio and share our research, analysis and investment strategy with our readers.

Click Here to View Latest Articles

Pilot Energy (ASX:PGY) has struck a deal with Caracal Exploration Pty Ltd to acquire Caracal’s 13% interest in exploration permit EP437 which is located within the Northern Perth Basin.

This comes on the back of independent report conducted by Gaffney, Cline and Associates about the oil potential at its deepwater WA-507-P permit which has added upward of 3.5 billion barrels of oil to its menu.

The deal with Caracal not only strengthens PGY’s position in the region, but is also in line with its acquisition strategy over the past 12 months.

PGY Chairman Gavin Harper said, “This transaction represents Pilot Energy’s fourth acquisition in under a year, all of which provide shareholders with exposure to quality petroleum exploration assets under favourable commercial terms. We look forward to working with our new joint venture partners, Key Petroleum and Key Resources in exploring the permit.

The Permit is located on the west of the northern Perth Basin, between Gerladton and Donbgara. It is 10km to the north of the Dongara gas field and Jingemia/Hovea oil fields, and 20km to the north of the Cliffhead oilfield.

Next Investors Image

PGY’s EP437 acquisition is a strategic, low cost play

Several wells have been drilled to date and PGY’s preliminary interpretations suggest the presence of a number of shallow-depth prospects.

PGY sees the acquisition as a strategic fit as it provides the Company with participation in low cost onshore oil and gas exploration in a region in which even small oil discoveries have commercial potential.

The Permit offers mid-term drilling opportunities, at low cost with the potential for future expansion.

The assignment of interest in EP437 to PGY is conditional upon the approval of the WA Dept. of Mines & Petroleum. Upon completion of the assignment, the joint venture interests will be:

  • Key Petroleum (ASX:KEY) 43.471% (operator)
  • Rey Resources (ASX:REY) 43.471%
  • Pilot Energy (ASX:PGY) 13.058%

For PGY this is a low cost entry acquisition with minimal financial commitments.



General Information Only

S3 Consortium Pty Ltd (S3, ‘we’, ‘us’, ‘our’) (CAR No. 433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information and is for informational purposes only. Any advice is general advice only. Any advice contained in this article does not constitute personal advice and S3 has not taken into consideration your personal objectives, financial situation or needs. Please seek your own independent professional advice before making any financial investment decision. Those persons acting upon information contained in this article do so entirely at their own risk.

Conflicts of Interest Notice

S3 and its associated entities may hold investments in companies featured in its articles, including through being paid in the securities of the companies we provide commentary on. We disclose the securities held in relation to a particular company that we provide commentary on. Refer to our Disclosure Policy for information on our self-imposed trading blackouts, hold conditions and de-risking (sell conditions) which seek to mitigate against any potential conflicts of interest.

Publication Notice and Disclaimer

The information contained in this article is current as at the publication date. At the time of publishing, the information contained in this article is based on sources which are available in the public domain that we consider to be reliable, and our own analysis of those sources. The views of the author may not reflect the views of the AFSL holder. Any decision by you to purchase securities in the companies featured in this article should be done so after you have sought your own independent professional advice regarding this information and made your own inquiries as to the validity of any information in this article.

Any forward-looking statements contained in this article are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results or performance of companies featured to differ materially from those expressed in the statements contained in this article. S3 cannot and does not give any assurance that the results or performance expressed or implied by any forward-looking statements contained in this article will actually occur and readers are cautioned not to put undue reliance on forward-looking statements.

This article may include references to our past investing performance. Past performance is not a reliable indicator of our future investing performance.