Esso Completes Papua New Guinea Deal With Eaglewood

Acquired 20% of 30% WI in PPL 260 in the Papua New Guinea highlands.

Esso PNG Exploration Ltd., a subsidiary of ExxonMobil, Irving, Texas, (NYSE: XOM) has made a final payment to acquire 20% of the 30% equity interest in PPL 260 in the Papua New Guinea highlands held by Eaglewood Energy Inc., Calgary, (Toronto Venture: EWD) for US$7 million.

The final payment was for US$4.9 million, following a US$2.1 million payment made at execution of the agreement.

Eaglewood chief executive Brad Hurtubise says, “We will begin acquiring seismic on PPL 259 on April 1 and expect to be in a position to drill our second well on that license in the second half of 2012. With previously announced farmouts effectively funding our next phase of seismic and our next well, this additional capital gives us the ability to better pursue the multiple opportunities in and around our licenses including expanding our PPL 259 seismic program to high-grade additional prospects, shooting additional seismic on PPL 257 and funding any PRL 4 unitisation outcomes.”