Emergency Center for Epidemic Control Continues Providing Hajjah Governorate, Yemen, with Services    KSrelief Continues Providing Emergency Food Supplies to Beirut Explosion's Affected Families    Saudi Arabia Welcomes Lithuania's Decision to List Hezbollah as a Terrorist Organization    OPEC Basket Price Stood, at $45.08    Riyadh crackdown nets 19 illegal expatriates    The Joint Forces Command of the Coalition to Restore Legitimacy in Yemen: Interception, Destruction of Multiple Bomb-Laden (UAVs) in Yemen    Liverpool's Klopp, Alexander-Arnold win Premier League awards    UN and partners launch $565 million appeal for Lebanon    Guterres ‘deeply concerned' over environmental threat posed by stricken oil tanker off Yemen coast    Uganda looks online for answers to COVID economic crisis    Israel deal not about Iran, asserts Gargash    Medical coding course planned for Hadaf beneficiaries    43% increase in ICU bed capacity in Riyadh hospitals    Saudi aide to Palestinians amounts to $6.5bn in two decades    UAE-Israel deal a ‘historic step for peace': Bahrain king tells Abu Dhabi crown prince    Russia reports more than 5,000 new coronavirus cases    Saudi Press: Saudi Arabia Exerts Great Efforts in Supporting Peace Process in Yemen    Weather Forecast for Saturday    APIC achieves net profits of $9.02 million in H1 of 2020    Not enough demand for US 30y bond; markets mixed    44 electronic stores penalized for violating new e-commerce system    Emirati Al Nuaimi, Gemany's Hansske top in the DXB Snow Run at Ski Dubai    Dammam Port Records Highest Number of Container Handling from One Ship    Still plenty to play for in Saudi Pro League    SAFCSP Launches Online Cybersecurity Bootcamp for Saudis    Qualifying matches for World Cup 2022, Asian Cup 2023 rescheduled    Saudi Films Festival poised to witness wide participation, reports say    SAR Wins International Safety Award 2020 from British Safety Council    Saudi Arabia Launches First Luxury Cruises Along Red Sea Coast on August 27    Fourth edition of the Noon Arts Award open for submissions    Louvre Abu Dhabi joins J. Paul Getty Museum in investigating ancient panel paintings    Thousands participate in SFA's first Step Together half and full summer marathon    Saudi woman seeks to restrain wealthy hubby from remarrying    Human evolution and woman    Maraya hall in AlUla wins prestigious architecture award    Juventus Sacks Sarri After Exit UEFA Champions League    Al-Nasr, Al-Hilal Fans Follow up Riyadh Derby, in various Cinemas, Venues    India's top minister Amit Shah tests positive for coronavirus    Azra Aly, South African pilgrim: ‘The beginning of the rest of my life'    Paris Saint-Germain beats Lyon to win League Cup final    Eid Al-Adha Prayer Performed at the Grand Holy Mosque    Islam calls for protecting communities against epidemics: Sheikh Al-Manea    Pilgrims Perform Dhuhr and Asr Prayers in Arafat Holy Site    Complementary, Alternative Medicine Practicing 1st Manual Version Issued    Saudi Ithra center launches dialogue sessions with most famous creators in the world    SFDA Implements National Program to Ensure Safety of 10,000 Food Samples    Senior Scholars Council Issues Decision No. 246 Regarding Attendance of Friday Prayer and Prayers at Mosques in a Case of Spread of Epidemic or Fear of its Spread    Custodian of the Two Holy Mosques Addresses Citizens and Muslims on Eid Al-Fitr    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.





Morocco lures most savvy oil explorers
Published in The Saudi Gazette on 21 - 07 - 2012

RABAT – Geologists, engineers and company executives are new visitors to Morocco. And they are part of the transformation of the country, which has become a magnet for some of the world's most savvy oil explorers
The country is host to Total, Anadarko, Kosmos and Repsol as well of some of the smaller, more entrepreneurial groups such as Tangiers Petroleum, Pura Vida and Longreach Oil & Gas.
Fastnet Oil & Gas, which is essentially the team behind Cove Energy's huge successes in Tanzania, this week announced it had farmed into offshore acreage in Morocco.
Meanwhile, the acquisitive Genel Energy, which is active currently in Kurdistan, another of the world's oil hotspots, is reported to be on the cusp of closing a deal there.
The country is chronically under-explored, although that is changing with the latest influx of oil companies.
Yet there is oil and gas onshore, and a ready market (Morocco is a huge hydrocarbon importer).
However, the real pull internationally seems to be the nation's offshore assets.
Tangiers reveals the Atlantic waters off Morocco could harbor a rich bounty.
It estimates the unrisked recoverable resource from its concession on the Tarfaya block could be anywhere from 156 million barrels to an eye-popping 5 billion barrels. Pura Vida's Mazagan permit area, meanwhile, could contain 3.2 billion barrels.
It bought Mazagan for A$3.5 million last October, and in doing so acquired some of the last remaining open acreage. This was quite a coup.
"Morocco needs to develop its oil industry, particularly its deepwater potential," said Pura Vida managing director Damon Neaves.
"To do this they need to attract the big companies into the country. They saw us as having the technology and expertise to do this: the modern seismic reprocessing techniques in particular.
"They saw us as a conduit to bringing in the big, deepwater operators to make the big investments required to pursue deepwater drilling."
The country's burgeoning hydrocarbon wealth is obviously a pull, but there are other reasons why companies are flocking to Morocco.
The unrest that has swept the rest of North Africa has singularly failed to threaten the country, which is a parliamentary constitutional monarchy.
Meanwhile, the fiscal terms there for oil and gas producers are amongst the most attractive anywhere in the world.
The state receives 25 percent of any project and a five percent royalty if gas is produced, which rises to 10 percent for oil.
An unprecedented 10-year corporate tax holiday is offered upon discovery.
This means the government take is never more than 35 percent. Contrast this with Algeria, where the authorities take 92 percent and you can see why foreign investment is flooding into Morocco.
And under this regime, the economics of the smaller projects look very attractive.
Tangiers Petroleum holds a 75 percent stake in the Tarfaya concession (the remaining 25 percent is held by the state national oil company).
It has an un-risked prospective resource of 867 million barrels, with a high-end estimate of almost 5 billion. "It is not one prospect, it is multiple prospects and they are different types of prospects," said chairman Mark Ceglinski. The major event in Morocco will be the farm-in deal, with the partner expected to drill two wells before the year-end at an estimated "$25 million per hole".
Longreach Oil & Gas was one of the first movers in Morocco and has five licenses covering seven offshore blocks and 21 onshore blocks. That adds up to a huge land position covering 13 million acres containing 70 leads and prospects with significant hydrocarbon potential. – Agencies


Clic here to read the story from its source.