Gabon reveals licensing round details

Image: drillingcontractor.org

Gabon Minister of Oil & Hydrocarbons, Pascal Hougangni has revealed details of the country’s upcoming 12th shallow and deep water licensing round, which was reported by Africa Oil & Power last week.

In putting 12 shallow-water blocks and 23 deep-water blocks up for bidding, Gabon is also preparing its new hydrocarbons code that will see the elimination of the 35 percent corporate income tax.

“I think that before the end of December you will have the new hydrocarbon code,” said Minister Hougangni.

According to reports by Upstream, the Minister also revealed that companies bidding for the new acreage would be competing for production sharing contracts with 10-year exploration periods. With the exploration period for oil being 15 years plus eight years plus seven more years, while for gas it would be 20 plus seven plus eight years.

State participation would be 15 percent carried interest and a 10 percent stake.

The deadline for submission is set for April 22, with bids set for review on May 23 and winners announced on June 24. Discussions between the ministry and winners will take place thereafter, with production sharing contracts to be signed in July and August.

The shallow-water blocks are:
A3, BC3, A4, BC4, AB5, AB6, B7, BC8, C11, C12, E12, C13, E13, C14, E14, G14, C15, D15, E15, D16, E16, F16 and E17

The deep-water blocks are:
A3, BC3, A4, BC4, AB5, AB6, B7, BC8, C11, C12, E12, C13, E13, C14, E14, G14, C15, D15, E15, D16, E16, F16 and E17