Reuters logo
Gabon selects 7 firms for final oil block talks
July 21, 2014 / 2:00 PM / 3 years ago

Gabon selects 7 firms for final oil block talks

* Exxon, Petronas and Ophir among the firms chosen

* Gabon hopes to reverse chronic oil decline

DAKAR, July 21 (Reuters) - Gabon’s oil ministry said on Monday it has selected seven firms for a final round of negotiations as part of an offshore licensing round the government hopes will reverse a chronic decline in output.

The new blocks are located in deep offshore waters - an exploration play that is expensive and uncertain but potentially very rewarding given the similarity of geological structures to oil-rich Brazil, where billions of barrels of oil have been discovered.

Former OPEC member Gabon produces around 230,000 barrels per day (bpd), down from a peak of close to 400,000 bpd in the 1990s.

An oil ministry statement said Impact Oil & Gas, Repsol , Perenco, ExxonMobil, Marathon, Petronas and Ophir were ranked highest after bidding for a total of nine blocks.

“These companies listed are invited to finalise negotiations for the signature of the relevant CEPPs (exploration and production sharing contracts) as soon as possible,” according to a statement signed by Minister for Oil and Hydrocarbons Etienne Dieudonne Ngoubou.

The statement showed that other companies such as Cobalt , Noble, Royal Dutch Shell and Total had been ranked in second or third place for the blocks.

The ministry said it had the right to open negotiations with the lower-ranking firms if talks with the first-choice companies were unsuccessful.

Bids for another eight blocks offered during the licensing round “did not reach the expectations of the Gabonese Republic”, the statement added. (Reporting by Emma Farge; editing by Keiron Henderson)

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below