Tap Oil says the final go-ahead has been given for the $US246 million Manora oil development in the Gulf of Thailand.
Tap holds a 30 per cent interest in the project, with Mubadala Petroleum affiliate Pearl Oil the development’s major owner and operator.
Tap’s direct share of the investment is $US74 million, with subsidiary Northern Gulf Petroleum tipping in $US13 million.
Manora is expected to deliver first production in early 2014, ramping up to 15,000 barrels of oil per day.
Tap managing director Troy Hayden said the final investment decision was a key milestone for the company.
“Manora is expected to generate significant future cashflow and will remain as a key focus for Tap over the development phase,” Mr Hayden said.
Tap stocks were up 1.56 per cent on the ASX today, finishing trade at 65 cents.