Impact Oil & Gas has won a new exploration licence covering the AGC Profond Block located offshore Senegal-Guinea Bissau Joint Development Zone (AGC)
Awarded by Agence de Gestion et de Coopération entre la Guinée- Bissau et le Sénégal, the licence covers approximately 6,700 sq km in water depths ranging from 1,000 metres to over 3,000 metres and is located in a proven petroleum area west of the Dome Flore and Dome Gea oilfields, adjacent to Impact Oil & Gas’ Block 4B, which is located offshore Guinea-Bissau. This new licence increases the African-focussed explorer’s area offshore Africa to over 100,000 sq km gross.
AGC Profond was previously held by a consortium led by Ophir Energy, which drilled the Kora-1 well in the northern part of the block in 2011. The well was located on the crest of a salt piercement feature and encountered claystone and interebedded limestones rather than the prognosed sandstone reservoir faces, the company said. The licence area immediately to the east of the AGC Profond Block has been awarded to Oryx Petroleum.
The initial term of licence lasts for three years. During this period, Impact Oil and Gas will have to acquire, reprocess and interpret existing data on the licence. Further seismic may be acquired if it is deemed necessary, the company added. A well could be drilled before the end of the first term or during the first renewal period, which lasts for two years. As the operator, Impact Oil & Gas has an 85 per cent interest, together with Enterprise AGC S.A., a Senegal registered company, holding 15 per cent in the licence.
Mike Doherty, executive chairman of Impact Oil & Gas, said, “The recent discovery in the Sangomar Licence, announced by Cairn Energy, has highlighted offshore Senegal as a very prospective region for good quality oil. As with our other licences, we look forward to moving ahead quickly to explore this promising area.”