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Central Petroleum Limited (ASX:CTP)

ALERT: Price-sensitive ASX Announcement for CTP
Current share price for CTP : $0.059 -0.03 (-33.71%)+
Announcement
Release
13 Apr 2026 9:44AM
Price at Release
$0.089
Full Release
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Summary
Central Petroleum Limited has executed a multi-year Gas Sales Agreement with the Northern Territory Government, facilitating the investment in two new wells at Palm Valley. This agreement will increase Central's gas production capacity by approximately 40%, with drilling slated to start mid-2026 and production expected by the second half of the year. Central has expanded its loan facility to cover the $26 million expected cost, ensuring financial readiness for this significant expansion. The initiative replaces an earlier arrangement with Power and Water Corporation and aims to secure strong returns while exploiting growth opportunities in other regions such as the Cooper and Otway Basins.
Key Points
  • Central Petroleum Limited signed a multi-year Gas Sales Agreement (GSA) with the Northern Territory Government.
  • The GSA supports investment in two new wells at Palm Valley, increasing production capacity by approximately 40%.
  • Central's share of drilling and completion costs is approximately $26 million, with an increased loan facility of up to $15 million to support this.
  • The drilling of two new Palm Valley wells is expected to begin in mid-2026, with production anticipated in the second half of 2026.
  • The GSA replaces previous proposed arrangements with the Power and Water Corporation.
  • Central Petroleum aims to market additional gas volumes from Mereenie Gas Field separately.
  • CEO Leon Devaney highlighted the potential for strong returns and growth opportunities through this agreement and other activities in the Cooper and Otway Basins.
IMPORTANT NOTE: This information is autogenerated and has not been reviewed for accuracy or completeness. You should refer to the full announcement here for further information.