{"id":7163,"date":"2018-08-30T08:06:47","date_gmt":"2018-08-30T08:06:47","guid":{"rendered":"http:\/\/www.oilnewskenya.com\/?p=7163"},"modified":"2018-08-30T08:06:47","modified_gmt":"2018-08-30T08:06:47","slug":"farm-negotiations-between-far-ltd-milio-international-collapse","status":"publish","type":"post","link":"https:\/\/www.oilnewskenya.com\/index.php\/farm-negotiations-between-far-ltd-milio-international-collapse\/","title":{"rendered":"Farm-in Negotiations Between FAR Ltd & Milio International Collapse"},"content":{"rendered":"

Kenya’s Block 6 operator Australia\u2019s FAR Ltd has said it has terminated farm-in negotiations with regards to Block L6 due to the enduring land issues that have stopped land access in the Kipini Conservancy.<\/p>\n

According to the operator which suspended<\/a> activity within the block earlier this year citing insecurity the land access factor was the prevailing factor leading to the collapse of the talks and efforts to negotiate an alternative farm-in agreement could not be reached.<\/p>\n

FAR and Milio were negotiating a farm-out amendment deed to reflect the changed circumstances\u00a0in the work program including the seismic<\/a> program which was due to commence in March 2015.<\/p>\n

Milio International was fully carried FAR through a proposed onshore well and a 1,000 line kilometre\u00a0 onshore 2D seismic survey and associated processing and through the\u00a0farm-out<\/a>\u00a0completed in February 2014.<\/p>\n

The Australian explorer now says it will continue to pursue the onshore exploration efforts in the block with the company\u2019s local subsidiary expected to carry out its intended onshore exploration program with the acquisition of a 2D seismic survey aimed at defining drillable locations on primary prospects Mamba, Kudu and Boundary Anticline within block L6.<\/p>\n

In addition, the explorer says the joint venture plans to take advantage of the same field season to conduct an onshore drilling EIA study.<\/p>\n

Other than the land and security challenges FAR and the other JV partner have continued to clash over cash calls and the operator having issued a\u00a0default notice<\/a>\u00a0to it\u2019s partner Pancontinental Oil and Gas for continued failure to pay cash calls<\/p>\n

Combined prospective resources for the L6 Block have been assessed at 3.7 billion barrels of oil or 10.2 trillion cubic feet of gas (un-risked, best estimate, 100% basis).<\/p>\n","protected":false},"excerpt":{"rendered":"

Kenya’s Block 6 operator Australia\u2019s FAR Ltd has said it has terminated farm-in negotiations with regards to Block L6 due to the enduring land issues that have stopped land access … Read More<\/a><\/p>\n","protected":false},"author":24,"featured_media":6278,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[11],"tags":[26,313,869,872,1252,6982,1570,1962],"class_list":["post-7163","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-top-news","tag-2d-seismic","tag-block-l6","tag-far-ltd","tag-farm-in","tag-kenya","tag-kipini-conservancy","tag-milio-international","tag-pancontinental-oil-and-gas","entry"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2017\/09\/WWF-Block-L6.jpg?fit=1123%2C794&ssl=1","jetpack_shortlink":"https:\/\/wp.me\/p5JWkQ-1Rx","jetpack-related-posts":[{"id":7209,"url":"https:\/\/www.oilnewskenya.com\/index.php\/far-ltd-secures-24month-esia-license-renewal-kenyas-block-l6\/","url_meta":{"origin":7163,"position":0},"title":"FAR Ltd Secures 24 month ESIA License Renewal For Kenya\u2019s Block L6","author":"","date":"October 31, 2018","format":false,"excerpt":"Australian explorer FAR has reported that it has secured a 24-month renewal to the existing Environmental and Social Impact Assessment License in effect across the onshore areas of Block L-6 from the Ministry of Petroleum and Energy. This renewal comes even as the company continues to seek another non-operations extension\u2026","rel":"","context":"In "Top News"","block_context":{"text":"Top News","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/top-news\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2018\/10\/Block-L6.png?fit=664%2C545&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2018\/10\/Block-L6.png?fit=664%2C545&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2018\/10\/Block-L6.png?fit=664%2C545&ssl=1&resize=525%2C300 1.5x"},"classes":[]},{"id":2757,"url":"https:\/\/www.oilnewskenya.com\/index.php\/2d-seismic-survey-kenyas-onshore-block-l6-expected-q2-2015\/","url_meta":{"origin":7163,"position":1},"title":"2D seismic survey in Kenya\u2019s Onshore Block L6 expected in Q2 2015","author":"","date":"March 30, 2015","format":false,"excerpt":"Milio International is expected to acquire 2D seismic onshore Block L6 after a defferement due to security concerns the Block Operator FAR Ltd has said. The announcement made on the company\u2019s annual report also estimates that following the interpretation of the data acquired the partners should proceed with drilling in\u2026","rel":"","context":"In "Top News"","block_context":{"text":"Top News","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/top-news\/"},"img":{"alt_text":"Block l6 2","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2015\/03\/Block-l6-2-259x300.png?resize=350%2C200","width":350,"height":200},"classes":[]},{"id":1760,"url":"https:\/\/www.oilnewskenya.com\/index.php\/far-ltd-receives-term-extension-in-kenyas-block-l6\/","url_meta":{"origin":7163,"position":2},"title":"Far Ltd receives term extension in Kenya\u2019s Block L6","author":"Samuel Kamau Mbote","date":"September 12, 2014","format":false,"excerpt":"Australian explorer Far Ltd has announced that it has received a 1 year extension in the PSC term of Block L6 after the company delayed planned activities Government of Kenya due to the inability to access the ground to complete planned seismic operations because of security incidents in the country.\u2026","rel":"","context":"In "Top News"","block_context":{"text":"Top News","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/top-news\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2014\/09\/block-l6-new.jpg?fit=900%2C720&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2014\/09\/block-l6-new.jpg?fit=900%2C720&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2014\/09\/block-l6-new.jpg?fit=900%2C720&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2014\/09\/block-l6-new.jpg?fit=900%2C720&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":482,"url":"https:\/\/www.oilnewskenya.com\/index.php\/pancontinental-onshore-kenya-l6-farmed-out-for-seismic-and-drilling\/","url_meta":{"origin":7163,"position":3},"title":"PanContinental: Onshore Kenya L6 Farmed-Out For Seismic and Drilling","author":"Samuel Kamau Mbote","date":"February 10, 2014","format":false,"excerpt":"Pancontinental Oil & Gas and its wholly owned subsidiary Afrex Limited (together\u00a0\u201cPancontinental\u201d) has entered a farm-in\u00a0agreement for the onshore portion of Kenyan exploration area Block L6 in the Lamu Basin. Block L6 is partly onshore and partly offshore. Under the terms agreed with farminee Milio E&P Limited (\u201cMilio\u201d) and Milio\u00a0International\u2026","rel":"","context":"In "Top News"","block_context":{"text":"Top News","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/top-news\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2014\/02\/pancontinental.png?fit=505%2C508&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":4054,"url":"https:\/\/www.oilnewskenya.com\/index.php\/milio-international-pancontinental-oil-and-gas-planning-2d-seismic-kenyas-onshore-block-l6\/","url_meta":{"origin":7163,"position":4},"title":"Milio International, Pancontinental Oil and Gas planning 2D seismic Kenya\u2019s onshore Block L6","author":"","date":"November 5, 2015","format":false,"excerpt":"Block L6 operator Dubai based Milio International is in the process of planning for the seismic acquisition \u00a0and is currently coordinating with local authorities according to JV partner Pancontinental Oil and Gas. This is part of a farm-out agreement where Milio negotiated entry into the onshore area of block L6\u2026","rel":"","context":"In "Top News"","block_context":{"text":"Top News","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/top-news\/"},"img":{"alt_text":"Block L6 map","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2015\/11\/Block-L6-map.png?resize=350%2C200","width":350,"height":200},"classes":[]},{"id":1529,"url":"https:\/\/www.oilnewskenya.com\/index.php\/far-ltd-delays-2d-seismic-acquisition-in-kenyas-block-l6-over-security-concerns\/","url_meta":{"origin":7163,"position":5},"title":"FAR Ltd delays 2D seismic acquisition in Kenya\u2019s Block L6 over security concerns","author":"Samuel Kamau Mbote","date":"July 31, 2014","format":false,"excerpt":"[twitter-follow screen_name='oilnewskenya'] FAR has said it has delayed a planned onshore well and an onshore 2D seismic survey and associated processing and interpretation in Northern part of coast Kenya due to insecurity in the area. According to a statement from the company the operations which were to start in June\u2026","rel":"","context":"In "Top News"","block_context":{"text":"Top News","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/top-news\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2014\/07\/far-blocks.png?fit=301%2C273&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]}],"jetpack_sharing_enabled":true,"jetpack_likes_enabled":true,"_links":{"self":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/7163","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/users\/24"}],"replies":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/comments?post=7163"}],"version-history":[{"count":1,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/7163\/revisions"}],"predecessor-version":[{"id":7164,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/7163\/revisions\/7164"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/media\/6278"}],"wp:attachment":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/media?parent=7163"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/categories?post=7163"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/tags?post=7163"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}