The Italian oil company Eni is still planning to drill, still this year, at least one oil or natural gas exploration well in Area A5-A, under concession as part of the 5th tender launched by the Mozambican government.
A source from the National Petroleum Institute (INP) assured that under the program agreed with the Government, the execution of the first drill hole is expected to take place in the last quarter of the year or early next year.
The firm said that despite the adverse effects of Covid-19, it has not yet informed the government of any intention to change the program. In fact, according to “Notícias” Eni currently has a research platform working on the Coral Sul project.
The platform, according to Eni’s initial plans, should remain in Mozambique until December.
It should be noted that as part of the implementation of the Strategy for the Concession of Areas for the Exploration and Production of Hydrocarbons, on October 23, 2014 INP launched the 5th tender for the concession of areas for the exploration and production of hydrocarbons.
In the tender 11 offshore areas (in the Rovuma, Angoche, Mozambique “Zambezi Delta” Basins), and four onshore areas (in the Mozambique “Pande/Temane and Palmeiras areas” Basin) were made available to bidders, covering a total of 74,259 square kilometers.
From the bids received, Eni Mozambico S.p. was considered the winner of the Areas. A, for Area A5-A, located in Angoche Basin; ExxonMobil E&P Mozambique Offshore Ltd, for Area A 5-B, located in Angoche Basin and Areas Z5-C and Z5-D, located in Zambezi Basin; Sasol Petroleum Mozambique Exploration Ltd, for Area PT5-C in Pande and Temane; and Delonex Energy Ltd, for Area P5-A, in Palmeira, Manhiça district, Maputo province, the latter later withdrawing from the tender.
After years of negotiations aimed at improving some legislative aspects, mainly of the oil sector, the Government and the concessionaires signed in 2018 the respective concession contracts with an exploration period valid for about eight years subdivided into three sub-periods of exploration.
Initial estimates indicated that the signing of these contracts could lead to investments amounting to approximately 700 million US dollars.
