Page 9 - AfrOil Week 39 2019

AfrOil
NEWS IN BRIEF
AfrOil
UPSTREAM
Aminex: Ruvuma farm-out
update and acceleration of
drilling operations
Aminex is pleased to announce that all the con- ditions precedent within the control of Aminex and ARA Petroleum detailed in the Ruvuma farm-out agreement have been satisfied. The company and ARA have seen positive move- ments in Tanzania, with the government actively resolving several long-standing issues with other operators in country. These positive movements provide confidence to the company and ARA, which are now prepared to further advance cer- tain pre-drilling operations for the Chikumbi-1 well.
The company and ARA will advance works so that drilling of the well can commence as soon as practicable following the satisfaction of the remaining conditions precedent, which are the granting of the Mtwara licence extension and government approval for the transfer of interest and operatorship.
Furthermore, Aminex is pleased to announce the following: 1) Aminex and ARA have signed a binding heads of terms, whereby ARA has agreed to provide a $3mn advance in instalments to the company, ahead of completion of the farm- out, which provides the company with financial flexibility pending completion. The parties will agree and sign a fully termed agreement as soon as possible. 2) The advance will be offset against the first tranche of the cash consideration paya- ble to Aminex on completion of the farm-out. 3) The second tranche of the cash consideration of $2mn, which was initially due to the company 180 days after completion, will now be payable to the company upon completion. 4) The long stop date for completion of the farm-out has been extended to June 30, 2020. While the company and ARA do not expect to require this extended period to satisfy the remaining conditions of the farm-out, this demonstrates both parties’ com- mitment to the transaction. 5) If completion has not occurred by June 30, 2020, the advance will convert to an interest-bearing secured loan, repayable by June 30, 2021.
Aminex Chairman John Bell commented: “ARA is suitably encouraged by the ongoing discussions with the Tanzanian authorities to accelerate the planning and preparation for the spud of Chikumbi-1. Furthermore, these advanced payments demonstrate a commit- ment to this excellent asset, which when on pro- duction will play an important role in meeting domestic demand for gas from the people and businesses of Tanzania and a possible interna- tional market through export arrangements with
neighbouring countries. Alongside our partner ARA, we continue to work towards completion of the Ruvuma Farm-Out and are proactively engaged with the Tanzanian authorities to obtain the outstanding approvals and licence extension.”
ARA Petroleum CEO Sultan Al-Ghaithi commented: “We are encouraged by the ongoing discussions with the Tanzanian authorities to be able to accelerate the planning for the early spud of the Chikumbi-1well, through the tendering of services, ordering of long-lead items and secur- ing a contract for a drilling rig. We are also happy to further demonstrate our commitment to the Ruvuma farm-out by bringing forward certain payments due to Aminex under the terms of the farm-out.”
Aminex, September 24 2019
SERVICES
Benthic wins TechnipFMC
geotechnical contract
offshore Mozambique
Benthic, a global geosciences company and part of Acteon, has secured an offshore geotechnical and geophysical contract from TechnipFMC for the Golfinho development, a deepwater discovery off the coast of Mozambique that will be developed as a subsea system tied back to an onshore liquefied natural gas facility.
For the first time in its history, Benthic will utilize two portable remotely operated drill (PROD) units to perform fieldwork, which is scheduled to begin in Q3-2019. The PROD1 unit with tracks (TracPROD) will be used in the shallow-water geotechnical locations from Sol- stad’s Nor Captain anchor-handling tug supply vessel, and the PROD2 unit will be used in deep- water geotechnical locations from the MMA
Valour multipurpose platform supply vessel. The PROD1 and PROD2 units will collect numer- ous geotechnical borehole samples and conduct in-situ piezocone penetration tests at various locations across the development.
Benthic will also manage the shallow and deepwater geophysical surveys, which are also scheduled to commence in Q3-2019.
Benthic, October 01 2019
AHTS contracts awarded by Total E&P South Africa
Total E&P South Africa has awarded Solstad Offshore ASA contracts for two large anchor handling tug supply (AHTS) Vessels, the Nor- mand Drott and the Normand Prosper.
The contracts are to support Total E&P South Africa’s operations in Block 11B/12B and the drilling program is expected to take up to 280 days, not including mobilization time and demobilization time, with expected commence- ment during the first half of 2020. Both vessels are currently trading the North Sea Spot Market.
This new contract award marks the return of Solstad Offshore to South Africa, having sup- ported Total’s previous drilling campaign in in the region during Q4-2018 and Q1-2019. Solstad Offshore, September 25 2019
LNG
Total closes the acquisition
of Anadarko’s shareholding
in Mozambique LNG
Total announces the closing of the acquisition of Anadarko’s 26.5% operated interest in the Mozambique LNG project for a purchase price of $ 3.9 billion.
Week 39 02•October•2019
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