Even in recent report issued by The World Bank: Supporting Gas Project Negotiations and Enhancing Institutional Capacities (P160652)
Project Information Document/ Integrated Safeguards Data Sheet (PID/ISDS)
Concept Stage | Date Prepared/Updated: 03-Feb-2017 | Report No: PIDISDSC19708
Borrower(s): Ministere de l’Economie et des Finances et du Plan
Implementing Agency: Secretariat of the Comité d’Orientation et de Suivi
(Office of the President of Senegal)
Page 5 Para 12:
"12. Discoveries in the Sangomar block. In late 2014, Cairn Energy PLC (40 percent, operator) in partnership with ConocoPhillips (35 percent), FAR (15 percent), and Petrosen (10 percent) made two significant discoveries. First, the FAN-1 well, drilled to a water depth of 1,430 meters, is estimated to contain 330Mb of oil, and second, the SNE-1 well, drilled to a water depth of 1,000 meters, contains an estimated 561Mb of oil, as well as non-associated gas, of which volume and characteristics have not been disclosed. An appraisal campaign for the SNE well was conducted and included a 3D seismic analysis in 2015 and covered four delineation wells (SNE-2, SNE-3, BEL-1, and SNE-4) drilled in
2016. This campaign confirmed the quality of the crude oil (32o API), the productivity of the wells as well as the likely development concept for the project – floating production storage and offloading (FPSO). In July 2016, Woodside Petroleum Ltd agreed to a binding purchase and sale agreement with ConocoPhillips to acquire all of the company’s interests in Senegal. The purchase was expected to become effective on January 1, 2016 with a completion of the deal by year-end, pending agreement from the GoSN. However in August 2016, FAR announced that ConocoPhillips failed to comply with their Joint Operating Agreement regarding the sale of the stake and intends to exercise its pre-emption rights. GoSN urged the parties to reach an amicable solution. In the Sangomar block, the concept for the development of SNE oil and gas resource still needs to be finalized and the appraisal program for FAN is to be developed."
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The above BOLD is my doing.
Clearly, flow on impact of delay is resolution of PE issue is having FAR reaching effects. No doubt Sall and Senegalese govt will not take favourable view of having this country-reshaping project held to ransom by "walnut shell and pea" trickery.
GLTA
MS
FAR Price at posting:
8.0¢ Sentiment: Hold Disclosure: Held
