Page 13 - AfrOil Week 50 2019

AfrOil
NEWS IN BRIEF
AfrOil
The preliminary 3D results validated the direct hydrocarbon indicators and thick reservoir development, confirming the large resource potential of the Paddavissie Fairway.
Block 11B/12B is located in the Outeniqua Basin 175 km off the southern coast of South Africa. The block covers an area of approx. 19,000 square km with water depths ranging from 200 to 1,800 metres. The Paddavissie Fair- way in the southwest corner of the block includes the Brulpadda oil and gas discovery, as well as several large submarine fan prospects that have been significantly de-risked by the discovery and subsequent 3D seismic work.
Africa Energy holds 49% of the shares in Main Street 1549 Proprietary Ltd, which has a 10% participating interest in Block 11B/12B. Total is operator and has a 45% interest in Block 11B/12B, while Qatar Petroleum and Canadian Natural Resources have 25% and 20% interests, respectively.
Africa Energy, December 11 2019
DOF Subsea secures FSV contract in Africa
DOF Subsea has entered into a two-month long contract with an international energy client in Africa. The project will utilise Skandi Seven and commence operations in direct continuation with the ongoing commitment for the vessel.
DOF Subsea will during this project deliver integrated FSV services, project management and engineering on multiple project packages, mainly within deep-water construction and maintenance activities.
DOF Subsea, December 10 2019
INVESTMENT
Liberia set to offer 9
offshore blocks in 2020
Harper Basin license round
The Liberia Petroleum Regulatory Authority (LPRA) has announced the launch of the next licensing round, expected to commence in April 2020. In a meeting held between NOCAL, LPRA and TGS, the next steps were unanimously agreed, to allow the government of Liberia to conduct a successful license round and thereby to attract the right investors to this promising exploration region.
Nine blocks will be on offer in the Harper Basin, one of the last unexplored and undrilled regions offshore West Africa. TGS holds a range ofmulti-clientdataacrossthisacreagetosupport the licensing round, including 5,272 km of 2D
and 6,276 square km of 3D seismic, gravity and magnetic data.
Syn-rift structural traps can be identified over much of the area, which offer multi-level prospectivity, with direct analogues to produc- ing fields in neighbouring basins. Modelling predicts the source rock maturity and expulsion post-dates the main tectonism in the basin, and seal presence is evident in West African Trans- form Margin analogues. Also, Cretaceous slope and basin floor fan systems demonstrating high amplitude character have been identified, some of which cover over 300 square km. Volumetric assessment of these features suggests field sizes over abn barrels of oil in place could be present.
“This is a watershed moment for the coun- try, and [LPRA] is excited to reach an agreement with all parties, including TGS and NOCAL, in promoting Liberia’s offshore acreage and attract- ing the needed investment in Liberia towards support for the Pro-Poor Agenda for Prosper- ity and Development (PAPD) under the aegis and leadership of President Dr. George Manneh Weah,” commented Archie N. Donmo, Director General at LPRA.
TGS, December 11 2019
FINANCE
Senegal: FAR Ltd
announces equity raising
to fund Sangomar oilfield
development
FAR Ltd has announced a conditional placement to raise AUD146mn at AUD0.0425 per share. In addition, FAR will conduct a share purchase plan to existing eligible shareholders to raise up to a further AUD30mn at the same price as the placement (SPP), together, the equity raising. The proceeds from the placement form part of the planned financing package to fund FAR’s capex to first oil for the Sangomar oilfield devel- opment, offshore Senegal, working capital and transaction costs.
The placement price of AUD0.0425 per share represents a 21.3% discount to FAR’s last closing price on Monday, December 9, 2019 of AUD0.054 per share and a 12.0% discount to the 5-day VWAP. The shares issued under the place- ment are conditional upon gaining shareholder approval at a general meeting to be held on or around January 16, 2020, and on the receipt of a credit approved Term Sheet for an underwrit- ten $350mn senior debt facility by December 31, 2019. New shares issued under the place- mentwillrepresentapproximately35.4%ofthe enlarged share capital of FAR, which will have
9,715,681,158 ordinary shares on issue. New shares issued via the Placement and SPP will rank equally in all respects with existing ordi- nary shares.
FAR intends to use proceeds from the Place- ment and SPP for the following purposes: to fund development capex to first oil – along with FAR’s existing cash reserves, a $350mn senior debt facility, and a junior debt facility of up to $150mn, proceeds from the placement will be used to fund FAR’s share of capex to first oil of $492mn (which includes a 10% contingency); to fund the transaction costs associated with the Placement; and to strengthen the balance sheet and support associated working capital, includ- ing capex post first oil.
Bell Potter Securities is acting as the sole lead manager and bookrunner to the placement. FAR Ltd, December 12 2019
MOVES
Savannah Petroleum appoints COO
Savannah Petroleum, the British independent oil and gas company focused on activities in Niger and Nigeria, is pleased to announce the appoint- ment of Antoine Richard as the Company’s Chief Operating Officer, with effect from December 12, 2019. Antoine has over 20 years of experi- ence in the oil and gas industry, including over 10 years of experience of working in West Africa. Antoine previously acted as VP Operations for Savannah between 2016 and 2018 and prior to this had worked for both major (Total) and inde- pendent (Perenco) oil and gas companies.
He has a strong operational background, with a focus on production optimisation, onshore facilities design and operation, management of drilling campaigns and seismic acquisition programmes. His previous positions at Perenco included Global HSE Manager, Country Man- ager roles fo rDR Congo, Egypt and Venezuela and Area Manager for Egypt and North Africa.
Antoine will be based in Lagos and is replac- ing David Clarkson, who, having served as Chief Operating Officer since June 2018,will be return- ing to his role on Savannah’s Board as a Non-Ex- ecutive Director.
Andrew Knott, CEO of Savannah Petroleum, said: “I would like to warmly welcome Antoine back to the company. He brings a significant amount of operational experience to the Savan- nah team and joins at a very exciting time for the company. I would also like to thank David for his significant contribution as we executed on our Niger operational campaign and conducted the integrationofourNigerianassets.”
Savannah Petroleum, December 13 2019
Week 50 18•December•2019
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