BW Energy has finalised production sharing contracts (PSCs) for the Niosi and Guduma Marin exploration blocks offshore Gabon, in partnership with VAALCO Energy and Panoro Energy.
This strategic move enhances the consortium's resource base for infrastructure-led exploration in the region.
The Niosi and Guduma blocks, covering a surface area of 2,974km² and 1,927km², respectively, are strategically located adjacent to BW Energy's existing Dussafu Marin licence.
BW Energy, holding a 37.5% working interest and operatorship, will work alongside VAALCO Energy and Panoro Energy, which hold 37.5% and 25% respectively, as non-operating joint venture (JV) partners.
The PSC for the Niosi block includes a five-year initial exploration period, with commitments to acquire new 3D seismic data and drill one exploration well.
The Guduma block's PSC stipulates a three-year initial exploration period focused on geological and geophysical studies.
Both blocks offer an option to extend exploration and commit to additional wells.
The consortium has pledged to drill a well in the Niosi Marin block within the exploration period and plans a 3D seismic acquisition campaign.
The partnership leverages the collective experience of BW Energy and Panoro Energy in the Dussafu PSC and VAALCO Energy's operations in the neighbouring Etame PSC.
The JV partners aim to expedite value creation by applying subsurface and production insights from the Dussafu and Etame projects to these new ventures.
BW Energy CEO Carl K. Arnet said: “Most of the Niosi Marin and Guduma Marin acreage is within tie-back distance to existing infrastructure, enabling fast-track, low-cost development of future discoveries.
“We have proven our ability to create significant value in the Dussafu licence, where we are close to completing the first phase of Hibiscus/Ruche to bring production to nameplate capacity of 40,000 barrels per day (bpd).”
In June this year, BW Energy confirmed a substantial oil discovery in the Hibiscus area in Gabon with recoverable reserves of around 8–12 million barrels.
