Aminex set to strengthen hold on Nyuni

Aminex aims to lift its interest in the Nyuni production sharing agreement (PSA) on/offshore Tanzania via a farm-in arrangement with Key Petroleum.

Offshore staff

LONDON -- Aminex aims to lift its interest in the Nyuni production sharing agreement (PSA) on/offshore Tanzania via a farm-in arrangement with Key Petroleum.

The company has agreed to fund 20% of the dry hole cost of the upcoming Nyuni-2 exploration well in return for a 15% interest in the PSA, lifting its total stake to 65%.

Key is looking to focus on production onshore the UK and exploration in Australia’s onshore North Perth basin.

Once farm-out conditions have been concluded, Key will become a 5% partner in Nyuni and responsible for 5% of ongoing costs, including any arising from testing and completion of Nyuni-2.

The arrangement will also give Aminex’s 15% of the tested Kiliwani North gas discovery and of the logged but untested Nyuni-1 gas discovery in Albian-Aptian sands, drilled in 2004.

Nyuni-2 is due to spud in April, with negotiations for a rig close to completion. The well will be drilled from Nyuni Island at an angle of around 30 deg from vertical to target a large gas prospect in Neocomian (Lower Cretaceous) sandstones.

Aminex says a commercial discovery could be tied back via a 20-km (12.4-mi) subsea pipeline to facilities at Songo-Songo.

02/04/2011

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