Swala Energy Limited has announced that its 93% owned subsidiary company, Swala Energy (Zambia) Limited, has been formally awarded hydrocarbon exploration rights over Block 44 in the Republic of Zambia from the Ministry of Energy.
This announcement follows the announcement on 12th May 2014 when the company reported it had been offered exploration rights over Block 44 and was awaiting the formal award of the rights from the Ministry of Energy.
Block 44 which lies in the southern part of the country covers an area of 6,000km2 on the margins of the Karoo-aged Kariba basin.
During the first contract year Swala intends to reprocess and reinterpret the legacy seismic data as part of its work programme. Under the provisions of the award, Swala may withdraw after each of the first 2 years of the contract should the work conducted not confirm the basin’s prospectivity.
“We are delighted with the award of Block 44 which, as previously advised, expands Swala’s asset portfolio into a potential hydrocarbon region with large energy demand. The Company looks forward to starting its technical operations and to the active management of this new licence,” says Swala CEO Dr. David Mestres Ridge.