PELs 106 and 107 in the Cooper Basin, South Australia are subject to multiple agreements, said Great Aresian managing director Ray Shaw.

“It is anticipated that further famins will be concluded in the near future as part of Great Artesian’s plans to accelerate its exploration activities during 2005,” Shaw said.

The company has a policy of not drilling any wells with 100% interest.

"Having 100% interest doesn't win twice the market kudos that 50% does," Shaw told EnergyReview.net.

"It's worth getting farmin partners and dropping down to anywhere between 30 and 75%. You're no worse off with investors.”

Great Artesian farms out on a prospect-by-prospect basis on the basis of no discovery, no earn, which keeps joint ventures flexible for both parties, Shaw said.

Under the terms of the latest farmin agreement, Rawson will drill one exploration well in ATP 552 in return for a 50% participating interest.

“Rawson has identified the Bellbird West prospect as the location for this well, which will test both the Showgrounds sandstone and underlying Permian sandstone reservoirs,” Shaw said.

“Rawson will use underbalanced drilling techniques, similar to those recently used by other Surat Basin explorers, in order to minimise reservior damage while drilling.”

Bellbird West is 2km west of the Bellbird-1 well, which flowed about 12 barrels of oil per day on test from tight Permian reserviors when drillled in 1984. ATP 552 is in the oil-prone portion of the Surat, about 12km north-east of the Alton oil field.

This is the second farmin agreement between Great Artesian and Rawson. The company has already farmed into PEL 107, South Australia, which it will explore in partnership with Great Artesian and Beach.

Both farmin agreements are subject to Rawson undertaking a successful capital raising and listing on the Australian Stock Exchange. The Bellbird West well will be drilled within nine months of Rawson listing on the ASX.

In January 2003, Rawson Resources became a casualty of a tight IPO market when it failed in its bid to raise $6.25 million from the issue of 25,000,000 ordinary shares.