Australis Transfers 90% Well Interest, Repays Macquarie Debt in $15.6M Financing
Australis Oil and Gas has completed a pivotal financing transaction with EQV Partners, transferring 90% interest in its producing wells and clearing its debt with Macquarie Bank. This move reshapes its operational and financial landscape as it prepares for upcoming drilling activities.
- Completed $15.6 million financing transaction with EQV Partners
- Transferred 90% working interest and operatorship of producing wells to EQV
- Repaid all outstanding debt to Macquarie Bank, terminating credit facilities
- Australis to provide transition services to EQV over next 60–90 days
- Continues preparations for first drilling under separate development partnership
Strategic Financing Transaction Finalized
Australis Oil and Gas has officially closed a significant financing transaction with EQV Partners LLC, marking a key milestone in the company’s strategic repositioning. The deal, finalized on 30 December 2025, involved transferring 90% of Australis’s working interest in its producing well inventory to EQV, which has now assumed operatorship. The transaction carries an effective date retroactive to 1 July 2025, with a final adjusted purchase price of US$15.6 million.
Debt Repayment and Financial Reset
One of the immediate outcomes of this transaction is Australis’s repayment in full of all outstanding debt and accrued interest under its credit facilities with Macquarie Bank Limited. This repayment has led to the termination of these credit facilities and the release of associated security interests on Australis’s assets. The move effectively cleans the company’s balance sheet, providing greater financial flexibility going forward.
Operational Transition and Future Drilling Plans
Following the transfer of operatorship, Australis will support EQV through a transition services agreement lasting between 60 and 90 days. This arrangement ensures operational continuity and knowledge transfer during the handover period. Meanwhile, Australis continues to advance preparations for its first drilling operations under a separate development partnering agreement, signaling ongoing commitment to growth and resource development despite the shift in well ownership.
Implications for Australis’s Strategic Direction
This transaction reflects Australis’s strategic focus on partnering and capital management. By monetizing a majority stake in its producing wells while retaining a 10% interest, Australis balances immediate liquidity needs with continued exposure to production upside. The company’s ability to retire debt and streamline operations positions it to pursue future growth opportunities with a cleaner financial slate.
Investors will be watching closely how the partnership with EQV evolves operationally and financially, as well as the progress of upcoming drilling activities under the development partner arrangement. The successful execution of these initiatives will be critical to Australis’s medium-term outlook.
Bottom Line?
Australis’s financing deal with EQV resets its financial footing and operational focus, setting the stage for its next growth phase.
Questions in the middle?
- What are the detailed terms and fees of the transition services agreement with EQV?
- How will Australis’s retained 10% interest impact its future revenue and cash flow?
- What is the timeline and scale of the upcoming drilling operations under the development partner?
