Sasol Petroleum International, the Mozambican Ministry of Mineral Resources, Empresa Nacional de Hydrocarbonetos, Mozambique's national oil company, and Sasol Petroleum Sofala Ltd. signed an exploration and production concession contract agreement for blocks 16 and 19 offshore Mozambique. The blocks cover 11,000 sq km area off the Mozambican coast.
Sasol is searching for additional gas resources to add to its proven Mozambique reserves for the Natural Gas Venture, a public-private partnership that benefits the region. The agreement is subject to the final approval by Mozambique's Administrative Tribunal.
"Sasol is targeting gas prospects with the potential to provide low cost gas for markets in Mozambique and South Africa. We have been involved in Mozambique for several years and this exciting new development forms an integral part of our upstream exploration focus," says Pieter Cox, chief executive, Sasol.
SPS is a wholly-owned Sasol subsidiary and will operate the blocks with 85% interest. ENH holds the remaining 15% in each block.