Afentra signss terms for its first offshore operatorship

The London-listed oil and gas company Afentra announced on Thursday that it had signed a framework contract for its first operating license offshore Angola, in a block which has proven resources.

Block 3/24 is a shallow-water oil and gas discovery with several identified exploration prospects. It is located near Afentra’s producing oil fields in Blocks 3/5 and 305A, as well as undeveloped discoveries.

In a press release, CEO Paul McDade stated that he was looking forward to reviewing and evaluating the most efficient options for development of the many discoveries using the Block 3/05 extensive infrastructure.

Afentra said in July that Block 3/05 produced around 21,400 barrels a day (bpd), and that it had the potential to increase this to 30,000 bpd and even 40,000 bpd. The company is looking to ramp up its water injection for oil extraction.

The new terms of agreement, signed with Angola’s National Oil, Gas and Biofuels Agency, (ANPG), on the sidelines a Luanda energy conference, allow an initial period of five years to evaluate the development potential of existing discoveries and exploration prospects.

Afentra, the operator, will hold a 40% stake, followed by Maurel & Prom Angola S.A.S, which holds a similar percentage, and Sonangol E&P, the state-owned company in Angola, who owns the remaining 20%.

McDade stated, "We are looking forward to building upon the successful collaboration working relationship with Sonangol's Block 3/05 Operator to ensure that we deliver the full potentail of this multi-billion barrel area." (Reporting and editing by PhilippaFletcher; Wendell Roelf)

(source: Reuters)