MEC Resources Ltd (ASX: MMR) advises that the Federal Court of Australia has dismissed an application for judicial review concerning the Petroleum Exploration Permit “PEP11” on 17 June 2026. MEC Resources Ltd is an investment company with a focus on the energy sector, holding a 37.95% indirect interest in investee Advent Energy Limited, which, through its subsidiary Asset Energy Pty Ltd, is the operator of the PEP11 Joint Venture. The court’s judgment means the decision by the Commonwealth–New South Wales Offshore Petroleum Joint Authority to refuse the joint venture’s applications to vary, suspend, and extend the PEP11 Permit now stands.
The Honourable Justice Jackson’s ruling found that while Asset Energy Pty Ltd was denied procedural fairness regarding undisclosed well costings, this denial was not material as the public interest ground independently justified the refusal. Furthermore, the Court held that the Joint Authority could rely on statements made in the NSW Parliament as reflecting community views, with parliamentary privilege preventing any challenge to the veracity of those statements.
As a direct consequence of the Federal Court’s decision, the prior refusal of the PEP11 extension and variation applications by the Joint Authority remains in effect. MEC Resources, in conjunction with its advisers and PEP11 Joint Venture participants Asset Energy and Bounty Oil & Gas NL (ASX: BUY), is currently reviewing the judgment and considering all available options, including a potential appeal. Advent Energy Limited intends to engage appropriate Senior Counsel for this purpose.
Separately, Advent Energy had submitted an application to NOPTA in March 2025 for the renewal of 50% of the existing PEP11 permit area. This renewal application is distinct from the recent Federal Court proceedings and is still pending consideration by NOPTA. The PEP11 Permit, as it stands, will remain in force pending the determination of this renewal application. MEC Resources will keep the market informed of any material developments in line with its continuous disclosure obligations.
