ERHC Energy Inc (ERHE)

[daylatedolarshort]

Sao Tome wants to partner with African oil companies

23 Sep 2010
Sao Tome would prefer to partner with African companies, including Angola's state-owned oil firm Sonangol, for oil exploration, the prime minister of the tiny West African nation said on a visit to Angola on Wednesday. International oil firms ConocoPhillips, Chevron, Petrobras and Tullow are currently bidding for rights to explore for oil off the coast of Sao Tome and Principe, as the island nation is officially known.

'If there is oil, this oil is in Africa and it should be for the African people. Therefore there is a preference towards African companies,' Patrice Trovoada told reporters after arriving in the airport in Luanda.

The bidding was expected to end on Sept 15, but has been extended for another two months, to give firms such as Angola's state-owned Sonangol more time, he said. 'My government has decided to extend the period for the exclusive Sao Tome and Principe zone for two months so that companies, including Sonangol, have more time to bid,' said Trovoada, who was named prime minister after an election last month.

Sonangol has said it is interested in bidding for oil exploration licences in Sao Tome.

The Agência Nacional do Petróleo de São Tomé e Príncipe (ANP-STP) launched the EEZ 1st licence round at the APPEX conference in London on March 2 2010. The first licence round contains seven blocks from EEZ zones A & B.

Zone A: Blocks 1, 2, 3 and 6
Zone B: Blocks 7, 8 and 13

Applications will be assessed based on stated evaluation criteria. Successful applicants will be granted a Production Sharing Contract (PSC). The Licence Round will now close on November 15 2010 allowing companies approx. 8 months to formulate their applications.

The ANP-STP web site has been updated regularly to contain key information about the licensing system and the availability of technical data.

http://www.energy-pedia.com/article.aspx?articleid=142198