Page 17 - AfrOil Week 12 2022

AfrOil NEWS IN BRIEF AfrOil

INVESTMENT
Upland Resources reports

on proposed farm-in to
Saouaf area in Tunisia

Upland Resources has announced that a Heads
of Terms (HoT) agreement has been signed
between the Company and Pennpetro Energy
for a proposed farm-in into its Saouaf permit
area, Tunisia.
Pennpetro Energy enters these HoT with
Upland through its wholly owned subsidiary
enterprise, Nobel Petroleum USA (NPUSA). a first right of refusal in respect of Upland UK local company, for the delivery of a marine vessel
Upland’s subsidiary holds a 50% interest in (Upland’s wholly owned subsidiary) assets upon to support its local operations.
the Saouaf Prospecting Permit in the Saouaf area the signing of the Farm-in for a period of 45 The bank served as Tullow’s financial part-
of Tunisia in a Joint Venture with the Tunisian days. Assets that Upland UK hold (but are not an ner in the contract, which marked the first
state oil company, ETAP. operator of) are: A 32% interest in P2478 (Blocks time a fully Ghanaian-owned vessel was hired
Pennpetro Energy wishes to enter into a 12/27c, 17/5, 18/1 and 18/2) and a 25% interest in to provide marine support services to a major
standard petroleum Farm-In agreement with PEDL 299 SK46c below. upstream project led by an international oil com-
Upland’s subsidiary in respect of the Saouaf Pennpetro Energy intends to proceed with pany (IOC), Absa noted.
Asset. Pennpetro Energy and NPUSA under- completing the matters set out in the HoT agree- Tullow expressed appreciation for the award
stand that the current residual work programme ment as quickly as possible. and reiterated its commitment to utilising local
needs to be carried out prior to the current expiry All of these transactions are subject to the content and developing the capacity of Ghana-
of the Saouaf Permit on 23 December 2022 agreement and signing of various legally binding ian service providers. It also drew attention to its
including an obligation to complete the acqui- agreements and further necessary announce- own 10-year plan for investing a total of $10bn in
sition of 300 line-km of 2D seismic, which Pen- ments will be made, in due course. Ghana’s oil and gas sector.
npetro has agreed to meet under the Farm-in. Bolhassan Di, CEO of Upland, commented: Meanwhile, Grace Anim-Yeboah, Absa’s
Pennpetro and Upland intend to work together “The Saouaf Permit although in its early stages, director of business banking, said the bank
to put in place an extension to the period to com- is an exciting prospect, and has a number of intended to continue working closely with
plete this work programme. leads. This Heads of Agreement with Pennpetro Tullow and funding similar projects. “As a bank,
Following completion of the current work (through its subsidiary Nobel Petroleum USA) our support for local businesses is a key part of
programme, the holder of the Prospecting Per- means that if the Farm out goes through Penn- our overall strategic intent,” she said. “Our will-
mit has a priority right to convert this permit into petro will carry Upland for the remainder of this ingness to go the extra mile in financing the Flat
an Exploration Permit, which will require: the phase of work and will meet 80% of the costs C vessel, in collaboration with Tullow, shows the
acquisition of 150 km of 2D seismic lines; and if the Prospecting Permit is converted into an trust and confidence we have in the local services
the drilling of one exploration well to reach the Exploration Permit. sector. We shall continue to create a closer part-
M’cherga formation or equivalent to a minimum “Through this proposed deal, Upland also not nership with Tullow Ghana in expanding and
depth of 1,500 metres. only mitigates its work commitment costs on the enhancing the growth of the oil and gas sector.
These costs will be shared between Upland Permit but retains exposure to upside in Saouaf We hope to also extend the same model to other
and Pennpetro on an 20%-80% basis. through a residual stake in Saouaf. We look for- key sectors of the economy.”
As a condition of the Farm-in, Pennpetro’s ward to working further with Pennpetro and to bna/IntelliNews, March 21 2022
subsidiary, NPUSA, will be the Operator for updating shareholders further on this exciting
the Permit and will become a party to the joint new chapter for Upland Resources.”
venture arrangements that Upland’s subsidiary, Upland Resources, March 16 2022 POLICY
Upland Saouaf, already has with ETAP. The over-
all interests upon completion of the Permit will Tullow wins Supplier African Energy Week’s
be as follows: Nobel Petroleum USA, Inc. 40%;
ETAP 50%; Upland Saouf 10%. Development Award from October dates set in stone
Pennpetro Energy has also agreed to reim-
burse Upland for the 80% of its prior sunk Ghana’s Absa Bank with exploration, energy
costs in Tunisia, which are agreed to be capped
at GBP290,000. This will be paid to Upland Ghana’s Absa Bank has named Tullow Oil (UK/ poverty on agenda
through fully paid ordinary shares in Pennpetro Ireland) as the recipient of its Supplier Devel-
Energy ranking pari passu with other ordinary opment Award, hailing the company’s commit- Representing the continent’s premier energy
shares in Pennpetro Energy at deemed value of ment to the use of local content. event – and the conference of choice for Africa’s
GBP0.35 each for a total of 662,857 fully paid Absa presented the award to Tullow in a energy ministers– African Energy Week (AEW)
ordinary Pennpetro Energy shares. ceremony held on March 17. It highlighted in 2022 remains committed to African oil, gas and
The HoT agreement between NPUSA and particular the LSE-listed company’s decision energy, driving its strong pro-African agenda in
Upland also includes granting Pennpetro Energy to award a contract to Flat C Marine Services, a 2022 and beyond.

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