Offshore staff
(Africa ) - Ndovu Resources Ltd., a wholly-owned subsidiary of Aminex Plc, has signed a farm-out agreement with Hardman Resources Ltd.
The agreement provides for Hardman to earn a 50% interest in the Ruvuma production sharing agreement in exchange for funding 100% of the costs of an onshore 2D seismic survey at an estimated cost of $3,000,000.
On completion of the earning commitment ,the interests in the PSA will be Ndovu, 50%, Hardman, 50%.
Aminex acquired 334 km of new 2D marine seismic of the area in 2005, and the additional onshore seismic to be acquired by Hardman will add significant value to the PSA area.
The onshore seismic survey is expected to consist of approximately 500 km of data and is scheduled to be carried out during 2006 with a view to firming up drilling targets for the joint venture's first exploration wells in this area.
The PSA is located approximately 500 km south of Dar es Salaam along the Mozambique border and comprises the Mtwara and Lindi licenses, covering a total area of 12,360 sq km over the onshore and near shore Tanzanian part of the Ruvuma basin.
The PSA is adjacent to the Mnazi Bay gas field currently under commercial development.
Prior to the award of the PSA to Aminex in late 2005, less than 1,400 km of seismic data had been recorded.
Several leads have been identified by previous operators over the PSA area, some with potential reserves in excess of 100 MMbbl.
Initial targets will be Tertiary and Cretaceous reservoirs, expected at depths of 1,000 – 3,000 m. Oil seeps have been recorded in the area.
The Mozambique portion of the Ruvuma basin attracted significant interest in a recent bidding round, and all five blocks offered for exploration were fully subscribed with substantial work commitments.
03/27/06
