Global Oil and Gas Limited (ASX: GLV) has entered into an exclusive Heads of Agreement (HOA) for the option to acquire a 20 per cent equity interest in Goshawk Energy Corporation Pty Ltd.

Goshawk owns several strategic licences, which are prospective for oil and gas located in Western Australia’s Canning Basin covering an area of approximately 40,800 square kilometres.

The proposed acquisition will also assist GLV to progress its 100 per cent-owned Georgina Basin Helium Project (EP127) located in the Northern Territory, by allowing it to leverage off the Goshawk management and technical team, which will complement Global Oil and Gas Limited’s planned technical interpretation and updated reconnaissance work on EP127.

GLV Director, Patric Glovac said the assets represent a key part of Western Australia’s onshore oil and gas potential which is becoming more and more prevalent as energy security needs increase due to the current state of the world.

“Having exposure to both the Squadron Joint Venture as well as the Goshawk 100 per cent licence area adjacent to Buru’s production acreage gives Global a significant exploration and development growth platform in the short to medium term with Squadron already embedded as a key strategic partner. The addition of the Goshawk technical team also allows the Company to progress EP 127 in the Northern Territory with added potency.”

“We look forward to completion of the Transaction and updating shareholders as significant exploration gets underway,” Mr Glovac commented.

Goshawk has established a well-defined exploration program, including acquisition of 3-D seismic and planned drilling of the onshore Helvetica oil Prospect.

Seismic reprocessing is expected to be undertaken during the next 12 months for STP-EPA-0146, while a 3-D Seismic program is anticipated to take place in STP-EPA-0146 in the next 6 to 18 months. Additionally, an exploration well is expected to be drilled in STP-EPA-0146 within the next 18 to 24 months.

Seismic reprocessing, seismic surveys and exploration wells will be required across other licences held by Goshawk to further prove up resources and are expected to be undertaken within the next 24-48 months.

GLV’s full announcement can be viewed online here.