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INVESTMENT
Egypt to launch bid

round for exploration
rights in Mediterranean

and Western Desert

Egypt plans to launch an international bid
round for oil and gas exploration in the Medi-
terranean and the Western Desert before the end
of this year, Minister of Petroleum and Mineral
Resources Tarek El Molla told media sources.
Egypt needs to continue to increase oil
and gas reserves to boost production levels, as
the sector has been a reliable earner of foreign
exchange, narrowing the trade deficit and pro-
viding critical balance of payments support.
Last January, Egypt offered eight areas for well-funded parties, the Company has now Arranger who has recently commenced techni-
oil and gas exploration in an international bid received quantified non-binding indications cal due diligence. To provide sufficient time for
round that saw onshore and offshore concession of interest in the Process from several parties this technical diligence process to complete,
awarded to Eni, BP, Apex International, Energy and, following review, the Company intends to the parties have entered into a further amend-
Egypt, INA Nafta, Sipetrol and United Energy. engage in more detail with the relevant parties. ment to the Mandate in order to extend the date
The awards were located in two regions in the Further announcements will be made, as appro- by which they will seek to negotiate binding
Mediterranean Sea, four regions in the Western priate, in due course. terms for the Financing to 15 March 2023. The
Desert as well as two regions in the Gulf of Suez. Phase 2 Development – EPC Contractor: In exclusivity provided to the Arranger under the
The awards were given for a total area of about parallel with the farm-out process in progress, Mandate to arrange the Financing has also been
12,300 square km with a minimum investment the Company has been developing relationships extended to 1 June 2023.
of $250mn to be made in the exploration phase with various vendors to conduct Engineering, Commenting, Graham Lyon (Executive
in order to drill a minimum of 33 wells, in addi- Procurement, Construction (EPC) and poten- Chairman) said: “The receipt of credible interest
tion to $23.7mn in signature bonuses. tially Operations and Maintenance activities for from a number of industry participants in join-
bna/IntelliNews, December 12 2022 the Phase 2 development of the Tendrara Pro- ing the Tendrara Production Concession devel-
duction Concession. Advanced negotiations are opment and surrounding exploration acreage is
Sound Energy ongoing, with suitable Consortia to undertake encouraging and the Company will now spend
time to fully evaluate each and the structure of
such work identified.
announces Tendrara Arranger Mandate Update: The Company Consortium for the Phase 2 development Engi-
Phase 2 Development – Lead Finance any potential future transaction. Identifying the
project financing update announced on June 23, 2022, that it had entered neering work is also key as is the structure by
into an Arrangement and Mandate letter with which the Company engages all parties.
Sound Energy, the transition energy company, Attijariwafa bank, a Moroccan multi-national “Understandably. Attijariwafa bank require
has provided a project financing update in rela- bank and one of the leading banks in Morocco, more time for their external experts to get famil-
tion to the Company’s Tendrara Production under which the Company mandated the iar with the project as this would be the first
Concession, onshore Morocco. Arranger in relation to the arrangement of pro- Moroccan bank led gas development financing.
Partner and possible Farm-Out Update: ject debt financing for the development of Sound We look forward to providing further positive
The Company announced on August 9, 2022, Energy’s Tendrara Production Concession. updates as the various project milestones are
that it had initiated a formal farm-out process Pursuant to the Agreement, the Arranger delivered.”
to identify a partner for the Tendrara Produc- was mandated, and provided with exclusivity Sound Energy, December 12 2022
tion Concession and the surrounding Grand by the Company for a period of eight months,
Tendrara and Anoual exploration permits. The to arrange a long-term project senior debt Savannah Energy ends SPA
objective of the area-wide approach is to seek a facility with a term of no more than 12 years of
co-investing partner in each licence to both fund up to MAD2.250bn (approximately $210mn for Petronas’ Chad and
the expected balance of Phase 2 development using current exchange rates) for the partial
costs to first gas of approximately $60mn net to financing of the currently estimated approxi- Cameroon portfolio
the Company’s working interest in the Tendrara mately $330mn total Phase 2 development cost
Production Concession and also to progress an (including development wells post-first gas) of On December 13, 2021, Savannah Energy
exploration and appraisal drilling programme the Tendrara Production Concession. Under the announced that it had entered into a Share
in the Grand Tendrara and Anoual exploration terms of the Mandate, as amended, the parties Purchase Agreement (SPA) with Petronas
permit areas. agreed to seek to negotiate binding terms for the (E&P) Overseas Ventures to acquire Petronas’
Following strong levels of interest in the Financing by December 15, 2022. upstream and midstream asset portfolio in Chad
Process from a wide range of credible and Good progress continues to be made with the and Cameroon.

P16 www. NEWSBASE .com Week 50 15•December•2022