4th Nov 2014 09:13
LONDON (Alliance News) - Ophir Energy PLC Tuesday said it is to sign an amendment that will establish the gas fiscal terms for the Block R Fortuna Floating Liquified Natural Gas project in Guinea.
The amendment has been agreed and the Ministry of Mines, Industry and Energy, GEPetrol and Ophir are due to sign it later in Malabo, Guinea. The agreement provides a financial framework in which Ophir, the operator of the project, GEPetrol and the government of Guinea can work together to develop the FLNG project, Ophir said in a statement.
"Agreeing mutually beneficial financial terms de-risks the project and will help facilitate external investment. This is positive not only for the project viability and for all parties involved with the Block R FLNG project," said Chief Executive Nick Cooper.
The total estimated mean recoverable resources of Block R, including the discoveries and adjacent de-risked volumes, are 3.4 trillion cubic feet of gas. These resources will be developed through a four-phase development of the assets that will commence with the development of the Fortuna Field, said Ophir.
"Ophir is very pleased to announce the successful conclusion of the gas terms discussions with the government of Equatorial Guinea and looks forward to working with the government to deliver Africa's first FLNG project," said Copper.
Ophir shares were trading down 2.2% to 185.70 pence per share Tuesday morning.
By Joshua Warner; [email protected]; @JoshAlliance
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