Page 33 - Icon Energy 2014 Annual Report

DIRECTOR’S REPORT
Surat Basin Queensland
• ATP 849 in the Surat Basin was voluntarily surrendered to DNRM on 31 August 2013 following a geological review of Surat
Basin data gathered by Icon Energy from 2008 to 2013. The ATP 849 End of Tenure Report was lodged with DNRM on 27
February 2014.
• The plug, abandonment and rehabilitation program covering the former ATP 626 Joint Venture wells was completed by 30
June 2014.
• Following a strategic review of ATP 626 and in accordance with the Queensland Government’s mandatory relinquishment
policy, Icon relinquished 20 sub-blocks or two–thirds of ATP 626 in the southern portion of the tenement and lodged the
Partial Relinquishment Report with DNRM on 27 June 2014. After an extensive two stage program and comprehensive
independent research, the Company announced that the coal seam gas play has proved to be uncommercial in ATP 626.
• Icon Energy lodged a Later Work Program for ATP 626 with DNRM on 28 April 2014 in order to conduct conventional
exploration in the retained blocks within ATP 626.
Gippsland BasinVictoria
• In accordance with the conditions of grant for PEPs 172 and 173, Icon Energy was required to complete an Indigenous
Land Use Agreement with the Gunaikurnai Land and Waters Aboriginal Corporation Registered Native Title Body Corporate
(ILUA) prior to the 19 August 2013. The ILUA which covers PEPs 172, 173 and 170 was executed on 9 August 2013 and
registered on 1 November 2013 by the National Native Title Tribunal.
• Icon Energy wrote to the Department of Environment and Primary Industries (DEPI) requesting, an extension and or
suspension of the permit conditions until the moratorium on all on-shore gas exploration is lifted in Victoria.
Corporate
• On 2 December 2013, Icon Energy successfully raised $18.88 million through a share placement to Hong Kong-based
Company, HK Prosperous Technology Limited (HK Prosperous) at a price of 23.5 cents.
• Icon and Shantou SinoEnergy Co Ltd, of the Peoples’ Republic of China, have agreed to extend the completion date for
conditions precedent in the GSA to 30 June 2015. The Shantou SinoEnergy Gas Sale Agreement is for a total of 40 million
tonnes of LNG, (2Mtpa) for 20 years.
Research and Development Activity
Icon Energy lodged a Research and Development (R&D) claim for the full year ended 30 June 2013 in April 2014 and a
payment of $7,492,356 was received in July 2014.
Icon Energy is currently in the process of preparing another R&D claim for the full year ended 30 June 2014. This claim will
cover activities carried out in one project area; ATP 855 in the Nappamerri Trough, Cooper Basin in south west Queensland.
The overall technical objective of this project is to develop new methods and techniques that enable gas to be extracted
efficiently from the deep Nappamerri Trough. Deloitte’s will be assisting Icon in the preparation and lodgement of this claim.
ABN 61 058 454 569 ICON ENERGY LIMITED 2014 Annual Report 33