Page 8 - AfrOil Week 32 2021

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LIBERIA
TGS (Norway), the operator of the world’s larg- est energy data library, is reportedly considering finding a partner for exploration drilling in the Harper basin offshore Liberia.
Archie Donmo, the director general of the Liberia Petroleum Regulatory Authority (LPRA), told Front Page Africa recently that TGS was very optimistic about the hydrocarbon potential of the nine offshore blocks included in the Liberia Licence Round 2020. The company built the data bank making it available to poten- tial investors for the bidding round and has con- sulted an exploration specialist about the blocks, he said.
After analysing the data bank, the specialist concluded that the sites might hold up to 3bn barrels of oil, he said.
In light of these findings, TGS believes that exploration drilling might lead to sizeable com- mercial discoveries within two to three years, Donmo stated.
As such, the company is looking into the possibility of teaming up with a partner to move exploration work forward.
TGS has never been involved in drilling projects before, but the LPRA head said that the company was testing a new strategy. It has now said that if it acquires seismic data from a country that subsequently fails to attract inves- tors, despite clear indications that commercial
Kosmos went on to say that the successful com- pletion of this transaction had freed up addi- tional funding for the GTA project this year. The US company’s share of capital expenditures for work at GTA was originally estimated at around $350mn for 2021, but the figure has now dropped to approximately $190mn, it said.
The proceeds of the sale will be used to cover Kosmos’ remaining cash calls on the project over the rest of the year, it reported.
“The balance of the sale proceeds, as well as the additional savings from the transfer of remaining FPSO construction payments to [the BP affiliate], are expected to be largely realised in 2022,” it noted.
Another $100mn in additional financing is due to become available later this year, follow- ing the refinancing of loans to the national oil companies (NOCs) of Mauritania and Senegal, Kosmos added.
Andrew Inglis, the chairman and CEO of the US company, commented: “We are pleased to have successfully completed this transac- tion, which secures additional funding for our
future development costs on the GTA project. This transaction demonstrates the strength and alignment of the GTA partnership. Kosmos, BP, the governments of Mauritania and Senegal and the respective national oil companies all recog- nise the strategic importance of the project and are working together to bring it to fruition.”
GTA is an ultra-deepwater block that lies athwart the maritime border between Maurita- nia and Senegal. It was discovered by US-based Kosmos Energy in 2015 and is believed to hold some 15 trillion cubic feet (425bn cubic metres) of natural gas. BP joined the project in 2016, and the two companies made a final investment decision (FID) on first-phase production in late 2018.
The partners intend to use gas from the licence area to support an LNG project. To this end, they have contracted Bermuda-registered Golar LNG to convert the Gimi LNG tanker into a floating LNG (FLNG) plant with a production capacity of 2.5mn tonnes per year (tpy). The FLNG unit will process gas delivered via pipe- line from the FPSO. ™
LPRA claims TGS may seek partner for exploration drilling in Harper basin
Liberia’s last bidding round covered blocks in the Harper basin (Image: TGS)
discoveries are likely, it will look for a partner that can carry out exploration drilling, he said. If the drilling programme leads to commercial finds, that country can then advertise its proven reserves, thereby attracting new investors and creating more opportunities for TGS to sell its seismic data, he explained.
“Once you’re considered a country of proven reserve, investment decisions about you are now different,” he commented. “You now get in a dif- ferent category like Senegal, Ghana, Ivory Coast, Nigeria.”
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w w w . N E W S B A S E . c o m Week 32 11•August•2021