Osaka Gas buys into Crux offshore liquids project

Japanese company Osaka Gas Co. paid $75 million (Aus.) for a 15% interest in Nexus Energy's $500 million Crux liquids project planned for Browse basin permit AC/P23 off northwest Western Australia.

Aug. 6, 2007

Rick Wilkinson
OGJ Correspondent

MELBOURNE, Aug. 6 -- Japanese company Osaka Gas Co. paid $75 million (Aus.) for a 15% interest in Nexus Energy's $500 million Crux liquids project planned for Browse basin permit AC/P23 off northwest Western Australia.

Nexus completed front-end engineering and design studies for Crux in February and with a successful drilling program has confirmed condensate reserves of 70 million bbl.

Osaka Gas and Nexus have committed to a work program expected to lead in second-quarter 2008 to a final investment decision for the project. First liquids production is scheduled for 2010.

Nexus already has sold the field's associated gas to Shell Australia for access after 2020.

Nexus and Osaka Gas also have agreed to carry out joint studies to identify other exploration prospects targeting gas resources.