CAMAC Energy seals exploration deals with Kenya, the Gambia

June 04, 2012 | Africa, Licensing & Concessions

CAMAC_Energy

CAMAC Energy, has signed two new exploration deals in Kenya and the Gambia as part of the expansion programme for its business in Africa.

According to the Chairman of the company, Dr. Kase Lawal, CAMAC will also be offering training and skill development for African nationals in the countries.

He said in a report obtained on Thursday that the firm would create fully funded scholarships for some of the nationals to study Petroleum Engineering in the University of Houston, Texas State.

Empowered Newswire reported that the two African countries expressed their pride that an African-owned oil company would be exploring and producing from their nations.

Lawal praised the Gambian leader for his sense of vision and support, hinting that CAMAC might expand its investment in Gambia to power sector areas.

Besides, Lawal said under the partnership with the Gambia, CAMAC would explore skill development and training of local Gambians.

The Gambian government, the report said, had signed a production agreement with CAMAC Energy for two offshore blocks in the West African nation, the first such deal Gambia is signing with a foreign oil company, it said.

It added that CAMAC had announced a similar deal with the Kenyan government with whom the company also signed production sharing contracts, PSC- on two newly created deepwater blocks off Kenya in addition to two Lamu basin land blocks previously awarded.

According to the report, In the Kenya deal, CAMAC will be the operator with 90 per cent interest in all four PSCs and the Kenyan government has a 10 per cent carried interest prior to designation of any commercial discovery.

CAMAC expects an indigenous company to take a minority interest later in that deal.

The report also said in the Gambian deal, CAMAC carried 100 per cent in each of the two oil blocks, but the Gambia National Petroleum Company was given the right to elect to participate up to a 15 per cent interest, following approval of a development and production plan.

CAMAC Energy is also responsible for all expenditures prior to such approval even if the GNPC elects to participate.