Falcon Oil & Gas (TXSV: FO, AIM: FOG) (Falcon) has agreed with its joint venture partner, Origin Energy Limited (ASX: ORG) (Origin), to farm down 7.5% of its 30% participating interest in the Beetaloo Sub-basin joint venture in exchange for Origin increasing its carry of Falcon’s share of costs by A$150.5 million to $263.8 million.

The transaction demonstrates both Falcon’s and Origin’s continued commitment to the Beetaloo Sub-basin. The Beetaloo is a geological region in the Northern Territory, around 500 kilometres south-east of Darwin with the Falcon Origin joint venture being the registered holders of approximately 18,619km². Drilling results to date have estimated there is a gross contingent resource of 6.6 trillion cubic feet over an area of 1,968 km².

Further information on this transaction is available here.