Final Report of Special Exploration Licence (SEL) 13/1998
September 2009
Great South Land Minerals Ltd
ii
EXECUTIVE SUMMARY
Empire Energy Corporation International (Empire), through its wholly owned subsidiary
Great South Land Minerals Limited (GSLM), has performed a significant amount of work
including the discovery of at least fifteen pr
eviously unknown, very significant, potential
petroleum structures within Special Exploration Licence (SEL) 13/98 over the past 10 years
proving the existence of three petroleum systems.
Empire and GSLM have expended in excess of AU$50 million of capital investment in
Tasmania, meeting all the licence conditions se
t by Mineral Resources Tasmania (MRT) for
SEL13/98. GSLM has obtained a valuation of the resource identified by the exploration and
evaluation work performed over the past ten years.
RPS Energy Ltd (RPS), one of the world’s leading independent experts on oil and gas
resource/reserve evaluations, prepared a Competent Persons Report indicating that the
undiscovered prospective oil and gas resource contained within the structures identified by
our geophysical and seismic work was 668 million barrels. After extensive due diligence
WHK Denison (WHK), a major Australian accounting firm, gave Empire an undiscovered
prospective resources valuation of US$3.3 billion based on US$5 per barrel. This confirms
GSLM’s findings and belief developed over these past ten years through our diligent work
and significant AU$50 million investment meeting licence conditions. This represents and
asset backing per share today of US$10.
GSLM and Empire intend to prove the validity of the RPS report and WHK valuations
regarding the existence of commercial quan
tities of onshore oil and gas Tasmania. RPS’s
undiscovered prospective resource of 668 million
barrels, calculated by using “probabilistic”
methods, which if verified and produced at today’s price of US$68 per barrel, could represent
potential revenue of US$45 billion contained
in structures discovered by GSLM’s 1,149km
of seismic work based on gravity, magnetic and stratigraphic wells.
GSLM and its predecessor companies were established as a result of a vision that founder
and current CEO, Malcolm Bendall, received fr
om God in 1977. In this vision, Mr Bendall
saw large structures on onshore Tasmania. It has now been 32 years since this vision and this
report details the exploration and expenditure carried out by GSLM and its predecessor
companies for onshore oil and gas in Tasmania. Over 32 years of exploration research and an
investment of over AU$50 million has found that oil and gas does exist in the Tasmania
Basin. This report also forms part of the prerequisite for the Final Report for SEL13/98 for
MRT.
September 2009
Great South Land Minerals Ltd
ii
EXECUTIVE SUMMARY
Empire Energy Corporation International (Empire), through its wholly owned subsidiary
Great South Land Minerals Limited (GSLM), has performed a significant amount of work
including the discovery of at least fifteen pr
eviously unknown, very significant, potential
petroleum structures within Special Exploration Licence (SEL) 13/98 over the past 10 years
proving the existence of three petroleum systems.
Empire and GSLM have expended in excess of AU$50 million of capital investment in
Tasmania, meeting all the licence conditions se
t by Mineral Resources Tasmania (MRT) for
SEL13/98. GSLM has obtained a valuation of the resource identified by the exploration and
evaluation work performed over the past ten years.
RPS Energy Ltd (RPS), one of the world’s leading independent experts on oil and gas
resource/reserve evaluations, prepared a Competent Persons Report indicating that the
undiscovered prospective oil and gas resource contained within the structures identified by
our geophysical and seismic work was 668 million barrels. After extensive due diligence
WHK Denison (WHK), a major Australian accounting firm, gave Empire an undiscovered
prospective resources valuation of US$3.3 billion based on US$5 per barrel. This confirms
GSLM’s findings and belief developed over these past ten years through our diligent work
and significant AU$50 million investment meeting licence conditions. This represents and
asset backing per share today of US$10.
GSLM and Empire intend to prove the validity of the RPS report and WHK valuations
regarding the existence of commercial quan
tities of onshore oil and gas Tasmania. RPS’s
undiscovered prospective resource of 668 million
barrels, calculated by using “probabilistic”
methods, which if verified and produced at today’s price of US$68 per barrel, could represent
potential revenue of US$45 billion contained
in structures discovered by GSLM’s 1,149km
of seismic work based on gravity, magnetic and stratigraphic wells.
GSLM and its predecessor companies were established as a result of a vision that founder
and current CEO, Malcolm Bendall, received fr
om God in 1977. In this vision, Mr Bendall
saw large structures on onshore Tasmania. It has now been 32 years since this vision and this
report details the exploration and expenditure carried out by GSLM and its predecessor
companies for onshore oil and gas in Tasmania. Over 32 years of exploration research and an
investment of over AU$50 million has found that oil and gas does exist in the Tasmania
Basin. This report also forms part of the prerequisite for the Final Report for SEL13/98 for
MRT.
