SYDNEY: Xstate Resources Limited (ASX: XST) announced Thursday it has agreed to dispose of its 20% working interest in the Anshof oil project in Austria, marking a strategic shift to focus on its upcoming Diona project in Australia.
The assignment of the interest to Kathari Energia GmbH, a subsidiary of ADX Energy Limited (ASX: ADX), extinguishes XST’s accrued liabilities of 547,075 euros ($963,160 AUD) tied to the project. No net cash payments were involved in the transaction.
The move reduces XST’s daily oil production by 14 barrels but eliminates future costs linked to the Anshof production facility. Managing Director Andrew Bald called the exit “a fantastic result for shareholders,” allowing the company to concentrate on advancing the Diona project in Queensland’s Surat Bowen basin.
XST is also progressing toward re-listing on the ASX, with a prospectus expected to be lodged in mid-June and a shareholder meeting planned for late July. The company delisted previously but aims to regain compliance with ASX listing rules by July 2025.
The Austrian exit follows XST’s 2021 farm-in agreement with ADX, which granted it a 20% stake in the Anshof field. Despite initial investments, the project’s modest production and unresolved liabilities prompted the divestment.
Xstate Resources holds oil and gas assets in California and previously operated in Canada before recent divestments. The Diona project acquisition, announced in April 2025, is now its primary focus.