Equatorial Guinea ratifies ExxonMobil PSC

Today, the government of Equatorial Guinea ratified a production sharing contract (PSC) with ExxonMobil for Block EG-06. The block is offshore Bioko Island and close to two prolific fields, the Ophir operated Block R and ExxonMobil’s Zafiro Field.

Mercedes Eworo Milam, Director General of Hydrocarbons of the Ministry of Mines, Industry and Energy, told TOGY today: “The signature of the PSC for Block EG-06 is a clear symbol that ExxonMobil still believes in the hydrocarbons exploration potential in Equatorial Guinea. The company also maintains a stable plan for the exploitation of its first concession in Equatorial Guinea at Block B. The commitment of ExxonMobil to Equatorial Guinea is reflected in the fact that the drop in oil prices has not hindered the signature of the new PSC at Block EG-06 nor has it prevented ExxonMobil from keeping all activities at the Zafiro field at an optimal level.”

ExxonMobil is now committed to acquire 750 square kilometres of 3D seismic data and to drill at least two wells during the 5-year exploration period for Block EG-06.

It is expected that new PSCs with similar exploratory programmes will be signed throughout 2015 in the blocks that the MMIE opened up for bidding in the 2014 Licence Round.

The PSC for block EG-06 was signed in January by Minister of Mines Industry and Energy Gabriel Mbaga Obiang Lima, national oil company GEPetrol managing director Candido Nsue Okomo and ExxonMobil Exploration and Production Equatorial Guinea (Offshore) regional vice president for Africa Pamela Darwin.

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