2009-08-17-2008-06-01

To buy company, gaining Cliff Head oil project assets, 42.5% of BassGas venture offshore.

Australian Worldwide Exploration Ltd., Sydney, (Australia: AWE) plans to acquire Arc Energy Ltd., Perth, (Australia: ARQ) for approximately A$483 million. Australian Worldwide will pay $1.5 per Arc share, comprising A$0.17 cent in cash, shares of Australian Worldwide and a new listed company, Buru Energy Ltd., and Buru options. The deal represents a 28% premium as of April 11. Arc assets include control of the Cliff Head oil project off Western Australia, as well as 42.5% of the BassGas gas venture off the southeastern coast. Pro forma, the combined company will have proven and probable reserves equivalent to more than 78 million barrels of oil. Production will be about 12 million barrels of oil equivalent in the year ending June 30. Buru Energy is being created from Arc properties prior to the merger to hold the Canning Basin assets and will be listed on the Australian Stock Exchange.