Oil Blocks Auction: Gov’t expects to sign at least four agreements this year

The government expects to close and sign agreements for at least four oil blocks this year, according to a statement from the Ministry of Natural Resources.

The following blocks were awarded to companies that accepted the contracts:

• Block S4 – TotalEnergies, Qatar Energy, and Petronas
• Block S5 – International Group Investment Inc.
• Block S7 – Cybele Energy
• Block S10 – International Group Investment Inc

“Whilst the process is ongoing for all the blocks, at this stage a minimum of four (4) PSAs are expected to be completed and signed for the year 2025,” the release noted.

It added, “The most substantially responsive bidders have been publicly announced, and the process is currently in its final stages, with the awardees expected to be formalised soon.”

It was noted that when the relevant regulatory processes are completed, a press event will be held to mark the signing of the PSAs.

‘S’ refers to blocks in shallow water while ‘D’ refers to blocks in deep water; there were 11 shallow water and three deep water blocks up for grabs but bids were submitted for eight of the 14 blocks.

A total of six firms were awarded eight different blocks in 2023; a total of 14 blocks (11 shallow and three deepwater blocks) were up for grabs.

The companies all went into negotiations with the government.