The Block G Production Sharing Contract in Equatorial Guinea has been successfully extended to 31 December 2040.
Alongside our Joint Venture partners, Kosmos Energy, Panoro Energy, GE Petrol and the Ministry of Mines and Hydrocarbons, we have agreed a material time extension of the PSC covering both the Ceiba field and the Okume complex. Prior to this extension the PSC expiry date for the Ceiba field was in 2029 and in 2034 for the Okume complex.
Located offshore in the Rio Muni Basin, the block G currently produces around 35,000 barrels of oil per day.
Arthur de Fautereau, General Manager, Trident Equatorial Guinea Inc, commented: “The extension of the license gives us the visibility needed to further invest in our Equatorial Guinea assets. There are exciting times ahead and we are already preparing a drilling campaign of three deep offshore production wells, scheduled to start by the end of 2023. We estimate the extension will add 19 Mbbls of reserves to the block.”
Jean-Michel Jacoulot, Chief Executive Officer, Trident Energy ML, added: “This is an important milestone for Trident and will allow for the full potential of the Okume complex and Ceiba fields to be unlocked. We look forward to the next phase of investments to bring new life to these mid-life assets. Well done to everyone involved. Great example of what it means to live the Trident values.“
John Hamilton, CEO of Panoro, commented:
“Upon entering the Block G Joint Venture we had always identified an upside in extending the PSC expiry dates to realise the full potential in the Ceiba and Okume fields. On behalf of Panoro I would like to thank the Ministry and our Joint Venture partners on the collaborative effort in delivering this important agreement. The extension substantially increases Panoro’s net 2P reserves in Block G and creates the time in which to unlock the material resources we believe to be present. We look forward to working with the Ministry and our Joint Venture partners to responsibly invest and further develop Block G to realise the full oil and gas potential of the block over the next 18 years.”
The extension will support the next phase of investment by the Joint Venture partners with further development drilling anticipated to commence in the second half of 2023 to target material new production growth beyond our current guidance. Further information on these wells will be communicated in due course as planning is refined.
Trident Energy is operator of Block G with a 40.375% working interest while Kosmos Energy holds a 40.375% working interest, Panoro working interest (14.25%) and GEPetrol a 5.0% working interest.