BHP Billiton FALCON® Agreement

Gippsland Offshore and BHP Billiton have made a landmark agreement in which Gippsland Offshore have rights to use the FALCON® airborne gravity gradiometry technology on a global basis for oil and gas exploration.

The agreement is important to Gippsland Offshore as it allows the company to apply high resolution gravity technology to date only available within BHP Billiton in exploration settings where seismic may be challenged either for logistical or geological reasons. In Jamaica, the limestones at sea floor have historically been a problem for the seismic technique and hence the area has been largely ignored for exploration. The use of the FALCON® technology together with innovative seismic acquisition has allaowed the Jamaica Joint Venture to unlock the potential of the Walton Basin. The FALCON® technology was key to successful bids in Jamaica, Kenya and most recently in France and Madagascar for Gippsland Offshore.

Secondly, the agreement is important to Gippsland Offshore as under the agreement, BHP Billiton have options to participate in the company's projects involving the FALCON® technology. This gives Gippsland Offshore a potential significant parter for drilling wells or developing any opportunities.

Updated 31 May 2007

How FALCON® works

FALCON® airborne gravity gradiometry technology, developed by the US military and BHP Billiton, is pivotal to many of GOP’s exploration plays around the globe. It not only makes high resolution rock density (and hence, maybe porosity) mapping possible, it also accelerates the exploration process, reducing costs and increasing the rate at which targets are identified, ranked and drilled.