Offshore staff
CALGARY, Alberta -- Artumas Group Inc. and subsidiary Artumas Moçambique Petróleo Limitada have signed a trade agreement with Anadarko Petroleum Corp. subsidiary Anadarko Moçambique Area 1, Limitada covering a mutual exchange of interests in their respective exploration and production concessions (EPCs) in Mozambique.
Under the terms of the agreement, Artumas will receive an 8.5% participating interest in Anadarko's Offshore Area 1 in the Rovuma basin in exchange for assigning Anadarko a 35.7% participating interest in Artumas' Rovuma Onshore Block. The Republic of Mozambique's national oil company, Empresa Nacional de Hidrocarbonetos (ENH) has a 15% participating interest in each area, which will be proportionately carried by Artumas and Anadarko during the exploration period for the areas.
The parties intend to conduct a work program on the joint areas consisting of seismic acquisitions and exploratory wells, . The combined minimum expenditure over the initial exploration period for both areas is $300 million. Artumas will operate the initial seismic programs on its Rovuma Onshore Block. Anadarko will operate all drilling operations for both areas.
This trade agreement and the change of operatorship on the Rovuma Onshore Block, is subject to approval by the Government of Mozambique and ENH.
"The Trade Agreement with Anadarko provides further evidence of Artumas' commitment in Mozambique and confidence in the geological potential of the Rovuma basin. The fact that we are operating in an emerging basin of activity surrounded by major players provides us and our shareholders with the validation that we are on the right track to realizing the potential of a world class petroleum discovery," says Steve Mason, president of Artumas.
"By partnering with Anadarko, a major, international, independent oil and gas company, we expect to increase our chance of exploration success by reducing our risk through an expanded exploration program on Artumas' onshore block. Further, the trade agreement with Anadarko increases Artumas' land position in the Rovuma basin through participation in an additional 10,500 sq km in Offshore Area 1, adding to the existing 15,000 sq km in the Onshore Block. We look forward to maximizing the synergies of our two companies," Mason says.
5/3/2007
