In September 2010, RH Petrogas signed two Share Sale and Purchase Agreements ("SPA") to acquire a total of 60% of the Basin PSC and 33.2% of the Island PSC (separate sale and purchase agreements with Lundin Petroleum BV and PearlOil Holdings Limited). On 29 December 2010, RH Petrogas successfully completed the acquisitions for both oil & gas producing PSCs. The Basin & Island PSCs are two contiguous blocks located in the "Birds Head" area of West Papua, Indonesia, occupying a total area of approximately 2,000 sq km onshore and offshore.
For the Basin PSC, there are 10 producing oilfields. Exploration upside potential in the Basin PSC is focused on near field exploration targets, which if successful can be rapidly tied back to existing infrastructure.
The Island PSC currently produces from seven onshore fields. Several high impact exploration prospects in the Island PSC have been identified in the offshore area where exploration drilling is targeted in 4Q 2012.