Page 16 - AfrOil Week 30 2021

AfrOil NEWS IN BRIEF AfrOil

IPR Wastani disputed Dana Gas’ right to termi-
nate the SPA and submitted a request for arbi-
tration. The Award now means the assets will
continue to be operated by Dana Gas for the ben-
efit of its shareholders and the people of Egypt.
The Company has an outstanding track-re-
cord of operating in Egypt over the past 14 years,
which resulted in Dana Gas becoming the fifth
largest gas producer in the country. It is currently
producing around 30,000 boepd from 14 devel-
opment leases. The Company looks forward to
maximising the value of its onshore producing
assets whilst also focussing its attention on test-
ing the enormous potential of its offshore Block
6 Concession Area. This is estimated to contain
more than 20 trillion cubic feet of gas resources
which it plans to test by drilling an exploration
well currently scheduled for Q1-2022 depending
upon the availability of long lead items.
Dana Gas Egypt collected $23mn in the first
quarter of 2021. This increased to $75mn in the 4 and 5 are licensed to the Equatorial Guin- blocks (2, 4A, and 5A) and encompass almost
second quarter following the termination of ean corporation Ada Business GE. Petroguin 5,000 square km. Over 70% of the land is above
the SPA. In total, Dana Gas Egypt has collected announced that it had signed a contract of asso- a water column of less than 100 metres, with a
$98mn during H1-2021, compared to $43mn ciation and participation with Ada Business GE maximum water depth of 1,500 metres to the
received in the same period of 2020, representing Lta last September for “exploration, and exploita- west.
a 128% increase. As a result, the $131mn receiv- tion of oil resources in Blocks 4 and 5 on the The Sinapa permit hosts the Sinapa oil dis-
ables at the end of Q1 will drop significantly. mainland” of Guinea-Bissau. covery, a shallow-water salt-related feature with
Dana Gas Egypt will contribute positively to the AGC Shallow Block: The Agence de Gestion contingent resources of about 13.4mn barrels of
Company’s profitability and cash flow in Quar- et de Coopération entre Le Sénégal et La Guinée recoverable light oil. The geotechnical assess-
ter 2 2021 and in the coming years. A portion of Bissau (AGC) Shallow is only 100 km from Bis- ment of this original discovery by FAR revealed
impairments, which the Company recognised in sau and has sea depths ranging from 25 metres to additional possibilities around the salt diapir.
2020, will also be reversed in Quarter 2 2021 as a 100 metres, with known oil between 50 metres to These additional resources support a potential
result of retaining these assets. 70 metres. There are a total of 14 wells; however, recoverable resource of over 72mn barrels.
Dana Gas, July 27 2021 only one has been drilled after the acquisition of In 2017, a complete prospectivity evaluation
3D seismic data. The first 3D data was acquired of the blocks revealed an attractive shelf-edge
Offshore exploration: The in 1982 and re-shot in 2003. The most recent geological setting along the western parts of the
licences – a proven play fairway in Senegal. Two
acquisition of 3D was in 2012.
future of Guinea Bissau’s salt-induced Flore Dome and Gea Dome have itised for further exploration.
Early wells in shallow reservoirs atop the prospects, Atum and Anchova, have been prior-
energy sector yielded significant amounts of oil. The AGC In order to meet the remaining commitments
Authority is looking for offers of a future work on the licenses, the Joint Venturers, Far Limited,
The underlying offshore exploration potential of programme from interested parties who have Svenska Petroleum and Petroguin agreed to ask
Guinea-Bissau has long been recognised given reviewed all past data and can demonstrate com- for an additional three-year extension to the
the country’s functional hydrocarbon system, petence to operate abroad. current exploration phase, with the backing of
good potential reserves, and several drillable The AGC Authority will send additional the National Oil Company of Guinea-Bissau,
prospects in a vast shallow water shelf setting. information to interested parties explaining the Petroguin.
According to the country’s national oil com- block and its potential, as well as specifics on the Blocks 2 and 4A&5A offshore: According to
pany Petroguin, Guinea-Bissau authorised awarding process. independent Norwegian oil and gas exploration
international businesses to begin prospecting The database, which includes both legacy company PetroNor E&P, a full-cycle Africa-fo-
for hydrocarbons in 11 offshore blocks where data from past operators and more recent studies cused independent oil and gas exploration and
oil is likely to exist since October last year. In on shallow oil and reservoirs, has been given to production business, drilling for Blocks 2 and
light of this, Energy Capital&Power will host Marine Geological and Geophysical Servicesto 4A&5A offshore Guinea Bissau under the Sinapa
MSGBC Oil, Gas&Power 2021, which will create administer and license. The new data was used and Esperança Licences will take place between
a national platform for constructive dialogue on to conduct a study of existing wells and repro- the end of this 2021 and next year.
natural resource management, investment and cessed seismic packages, which was then linked The Norwegian entreprise made the state-
initiatives for enhancing the productivity and to potential commercial development options. ment while providing an update on its acqui-
sustainability of the current power matrix. The Sinapa and Esperança permits: The sition transaction of SPE Guinea Bissau AB, a
Offshore exploration might be the future of contiguous Sinapa and Esperança licenses are wholly-owned subsidiary of Svenska Petroleum
the energy sector in Guinea Bissau, with various located offshore Guinea-Bissau in the Casa- Exploration AB, Sweden, and the Operator
projects underway to expand the country’s oil mance salt sub-basin. Australian independent of Block 2 of the Sinapa Licence, and Blocks
and gas sector. FAR Limited owns a non-operating interest in 4A&5A of the Esperança Licence.
Onshore Blocks 4 and 5: Onshore blocks these two licences, which are divided into three Energy Capital & Power, July 26 2021

P16 www. NEWSBASE .com Week 30 28•July•2021