[twitter-follow screen_name=’oilnewskenya’]<\/p>\n
Apache has opted out from the production sharing agreement (PSC) with Pancontinental Oil and Gas of Kenya’s offshore Block L8 saying it will not participate in any further discussions in the new PSC after the former agreement expired.<\/p>\n
Apache had owned 50 percent in the agreement, Origin owned 20% while Pancontinental and Tullow own 15%.<\/p>\n
Pancontinental Oil and Gas says it continues to attend meetings with the Kenyan Ministry of Energy and Petroleum \u00a0to discuss the Kenyan\u00a0offshore Block L8 Production Sharing Contract and its forward exploration\u00a0programme.<\/span><\/p>\n “Pancontinental has had initial scoping talks with the Ministry and has requested to\u00a0enter into negotiations with the Ministry and a potential co-venturer for the grant of a\u00a0new PSC in respect of Block L8,” the company said in a statement signed by\u00a0CEO and Director\u00a0Barry Rushworth.<\/p>\n Pancontinental is the longest-standing explorer and licence holder in Kenya and has\u00a0a lengthy and cordial relationship with the Ministry.<\/p>\n Pancontinental says it has\u00a0been part of a consortium that has spent more than $135 million on exploration within “While there is no guarantee that a new PSC can be agreed with the Ministry,\u00a0Pancontinental aims to negotiate and finalise a new PSC that will replace the old\u00a0PSC and better reflect matters such as production sharing and a revised forward\u00a0work programme.”<\/p>\n [twitter-follow screen_name=’oilnewskenya’]<\/p>\n","protected":false},"excerpt":{"rendered":"
\nBlock L8 and has considerable exploration data in respect of Block L8.<\/p>\n