Tanzania’s Minister of Energy, Doto Biteko, has approved the assignment of 74% interest in the Tanga block from Afren Tanzania Ltd. to Octant Energy Tanzania Ltd. (‘Octant’).
Afren acquired the controlling stake in the project in 2011.
“We farmed out an interest to Afren and so we are delighted with what is a most positive and significant development and we look forward to working with our partner Octant in realising Tanga’s significant potential,” Michael J Prest, Founder and Chief Executive of Petrodel, said.
- •The Tanga Block lies in the northernmost coastal region of Tanzania and includes onshore, shallow marine and deep marine areas.
- •The Kimbiji and Latham licences cover approximately 9,300 sq km and comprise onshore, near-shore and deep-water acreage.
- •The parties Petrodel (26%) and Octant (the operator – 74%) can now move into the final 3-year period and plan on reprocessing the 3D seismic survey of Tanga acquired in 2013.
The Tanga block includes a deep basin with a thick sedimentary section that has the potential to host several source rock intervals and reservoir/seal pairings. Potential petroleum plays include Lower Cretaceous sands deposited in deltaic to shallow marine environments, Upper Cretaceous submarine fans, Eocene shelf sands and Miocene fluvial and deltaic sands.
- •Both structural and stratigraphic traps have been identified by previous mapping campaigns.
- •Oil seeps and shows encountered in previous wells drilled on the nearby Pemba Island attest to the oil potential of the block and surrounding area.
- •Previous interpretations have indicated the likely presence of several giant (>100 MMB) prospects within the Tanga block.
Petrodel was awarded Tanga, Kimbiji and Latham licenses in Tanzania in 2006. Tanzania is home to sub-Saharan Africa’s second largest gas resources, with reserves estimated at 57.5 trillion cubic feet.