BG agrees terms for Kenya blocks

BG Group has signed production-sharing contracts with Kenya’s Government for two offshore exploration blocks in the southern part of the Lomu basin.

Offshore staff

LONDON -- BG Group has signed production-sharing contracts with Kenya’s Government for two offshore exploration blocks in the southern part of the Lomu basin.

The company will operate blocks L10A and L10B, in partnership with Premier Oil Investments, Cove Energy, and Pancontinental Oil & Gas.

BG Group will be operator on both blocks and will hold a 40% equity interest in block L10A and a 45% interest in block L10B. The initial work consists of a commitment to acquire seismic data during an initial exploration period of two years.

Together the permits span more than 10,400 sq km (4,015 sq mi), in water depths ranging from around 200 m to over 1,900 m (656-6,233 ft). The partners plan to acquire 2D and 3D seismic data this year and in 2012.

05/17/2011

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