Carnarvon Completes Transformational Divestment of Bedout Assets Carnarvon Energy Limited

Carnarvon Completes Transformational Divestment of Bedout Assets

Carnarvon Petroleum Limited (ASX:CVN) has announced the successful completion of its Bedout assets divestment to PetroChina International Investment (Australia) Pty Ltd (CPC). With the transfer of the Bedout assets completed, Carnarvon now holds approximately A$319 million in financial liquidity, made up of approximately A$181 million in cash and A$138 million future contribution to Dorado development costs.

Transformational Journey to Delivering High-Quality Production

Carnarvon's Managing Director and CEO, Adrian Cook, highlighted the significance of the CPC transaction as a crucial funding milestone and a vital component in Carnarvon's transformational journey to delivering high-quality, low-cost production for shareholders. With the adjusted payment of US$58 million (~A$89 million) received from CPC at completion, Carnarvon's cash reserves are now boosted to ~A$181 million.

Groundbreaking Potential of Dorado and Pavo Fields

The CPC transaction provides substantive funding for the development of the Dorado and Pavo fields, the largest undeveloped oil field offshore Australia. The completion of the transaction now positions Carnarvon to realize the value of its high-quality portfolio, particularly the groundbreaking potential of the Dorado and Pavo fields and the substantial exploration potential across its Bedout assets.

With the successful completion of CPC's entry into the Joint Venture, joining Santos and Carnarvon, it provides Carnarvon an opportunity to work with both entities to achieve a Final Investment Decision on the Dorado development as soon as possible.

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Unique Position Among Mid-Cap Energy Stocks

Carnarvon's financial strength and quality resource base provide it with a unique position among mid-cap energy stocks. The successful divestment of the Bedout assets is a crucial step in Carnarvon's expansion plans and unlocking their potential along with the substantial exploration potential across its Bedout assets.

Adrian Cook welcomed CPC to the Joint Venture, thanking them for their constructive contribution to finalizing the transaction. In the coming months, he looks forward to providing shareholders with further updates on the progress of the Dorado development, and wider Bedout exploration.

Strong Financial Standing and Long-Term Growth Potential

The completion of the transformational divestment of a portion of its Bedout assets is a significant accomplishment for Carnarvon. The company's strong financial standing and long-term growth prospects highlight the potential for exciting developments in the future.

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#ASX:CVN Carnarvon Completes Transformational Divestment of Bedout Assets

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