UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) July 9, 2004
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AUSTRALIAN OIL & GAS CORPORATION
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(Exact name of registrant as specified in its charter)
Delaware 000-26721 84-1379164
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(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
2480 North Tolemac Way, Prescott, Arizona 86305
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (928) 778 1450
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ITEM 5 OTHER EVENTS
On July 6, 2004, the Registrant's wholly owned subsidiary, GASCORP, INC
(Gascorp), was informed by the Designated Authority of the grant of petroleum
exploration permit AC/P33 (formerly known as release area AC02-1) for an initial
6-year term, effective from June 25, 2004. AC/P33 is an area within the
Territory of Ashmore & Cartier Islands, an Australian offshore territory
administered by the Northern Territory of Australia on behalf of the Australian
Government. Gascorp holds a 20% interest in the permit, in joint venture with
its affiliates; Natural Gas Corporation Pty Ltd (40%) and Auralandia N.L. (40%),
the designated Operator.
AC/P33 is located geographically within the Timor Sea, approximately 640
kilometers west of Darwin. Geologically, AC/P33 is part of a sector of the
eastern margin of the Vulcan Sub-basin; one a number of proven petroliferous
sub-basins which together comprise the North West Shelf of Australia hydrocarbon
province.
AC/P33 includes the undeveloped Oliver oil and gas accumulation. It comprises
five graticular blocks, totalling approximately 400 square kilometers (98,800
acres). The Oliver oil and gas accumulation lies 30 kilometers north of the
Jabiru oil field. Jabiru was discovered in 1983 and was the first commercial
discovery in the area. It led to the further discovery of a number of producing
oil fields in the Timor Sea.
Recent successful exploration in the thirty kilometer area separating Oliver
field in the north from the Jabiru field to the south, has revealed the presence
of two more oil field accumulations. The first of these discoveries was made at
the Tenacious field location, 25 kilometers south west of Oliver in May 1997.
The second oil field discovery was made at the Audacious location in January
2001, 12 kilometers south east of Oliver. Jabiru field has produced over 100
million barrels of oil during its lifetime. The presence of the Audacious,
Tenacious and the Oliver accumulations has confirmed the presence of an
effective petroleum system on the eastern flank of the Vulcan Graben in the
general area of AC/P33.
In the first three years of the initial 6-year term of the AC/P33 permit, the
joint venture participants plan to obtain a range of pertinent existing reports
and open file seismic data and, with this data, to map, interpret and revise
analyses and concepts which presently exist for the area. The joint venture
participants have also committed to the enhancement of existing seismic data
around the Oliver and the Oliver NE feature, and will examine various techniques
for their potential use as direct hydrocarbon indicators. In the third year, the
joint venture plans to acquire 80 square kilometers (19,760 acres) of new
enhanced parameter 3D seismic survey. It is intended that the survey will be
conducted over the Oliver and Oliver NE features. Should the joint venture so
decide, it can elect to enter the second three years of the initial permit term
and drill one exploration well and perform further interpretational work.
Provided all work commitments are carried out, AC/P33 can be renewed for two
further 5-year terms, upon relinquishing 50% of the area of the Permit at the
end of the first 6-year and second 5-year permit terms. The Permit, therefore,
has the potential for a total 16-year life. In calculating the area to be
relinquished, the area of any Retention Lease or Production License is excluded
from the calculation of the area to be relinquished.
With regard to AC/P33, Mr E Geoffrey Albers, a director of the Registrant, is a
director and shareholder in both Natural Gas Corporation Pty Ltd and Auralandia
N.L. These companies, together with Gascorp, Inc, are the co-owners of AC/P33
and have entered into a joint venture agreement, which is now known as the
Oliver Joint Venture.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
AUSTRALIAN OIL & GAS CORPORATION
Date: July 9, 2004 By: /s/ E. Geoffrey Albers
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E. Geoffrey Albers
President