Eaglewood Energy Inc. confirmed that Esso Papua New Guinea (PNG) Exploration Ltd., a subsidiary of ExxonMobil, has exercised its option to acquire the final 10% of Eaglewood's equity interest in Production License 260 in the PNG highlands.

The consideration for the 10% interest is $3.5 million with $1.1 million currently payable and the remaining $2.45 million payable when Esso's interest is registered on the license, which is expected to occur prior to September 30.

The transaction is conditional upon the waiver of pre-emptive rights and receipt of all necessary regulatory approvals.