NOTE 6 — COMMITMENTS AND CONTINGENCIES

Bonini-Kettlety Lawsuit

The litigation matter referred to as the Bonini-Kettlety lawsuit previously disclosed in the consolidated financial statements and the accompanying notes of Tellurian Investments as of and for the fiscal year ended December 31, 2016, was settled on April 18, 2017. See Note 15, Subsequent Events, for further information.

Seismic Survey

On March 31, 2017, the Company executed an Operations Services Agreement (the “Seismic Agreement”) with Santos Offshore Pty Ltd (“Santos”) to provide support services and engage a contractor to conduct a 3-D seismic survey over a prospect in our offshore block in the Bonaparte Basin, Australia. The total commitment of the Seismic Agreement is estimated at $5.8 million through November 2017, of which $233 thousand has been recognized as an accrued liability within our Condensed Consolidated Financial Statements. Under the Seismic Agreement, Santos is required to notify and obtain the Company’s consent to the engagement of the seismic contractor, certain instructions to the seismic contractor and technical aspects of the seismic plan. Within five days following Santos providing the Company with any such notification, the Company is required to provide its consent, which cannot be unreasonably withheld.