senegal exploration permit license conditions

Taken from Petrosen's website, FAR's partner. Extract below.

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Chapter 3: Hydrocarbon Exploration Permit
ARTICLE 14

The hydrocarbon exploration permit grants its holder, within the boundaries of its perimeter, the exclusive right to carry out any work, including drilling, related to the exploration and discovery of hydrocarbon deposits, in accordance with the provisions of the convention associated with said permit.

ARTICLE 15

The hydrocarbon exploration permit, at the request of its holder, may be renewed twice by decree, for a duration not to exceed three years, in each instance, provided that the holder fulfills all of its obligations and abandons each time a fraction of the exploration perimeter.


The second renewal period may be extended, by decree, for the duration necessary for the completion of the evaluation of a discovery.

ARTICLE 17

The convention associated with the exploration permit sets forth the respective rights and obligations of the holder and the State for the duration of the exploration permit, including the renewal periods, as well as for the duration of any exploitation concessions which may arise therefrom in the event of a commercial discovery, in particular:


a) the work obligations for each of the exploration periods, with the corresponding guarantees;
b) the conditions under which the exploration and the exploitation are carried out;
c) the provisions regarding the cancellation of the exploration permit or the withdrawal of an exploitation concession;
d) the financial and fiscal provisions;
e) the obligations pertaining to the training and hiring of local labor;
f) the rules pertaining to the assignment or transfer of the rights and obligations of the holder;
g) the provisions pertaining to the participation of the State or a State company, in all or part of the petroleum operations;
h) the delivery to the Minister of the information, documents and samples pertaining to the petroleum operations;
i) if applicable, the arbitration procedure selected to resolve any disputes that may arise from the enforcement of the convention;
j) the rules pertaining to the transfer of assets and permanent facilities upon expiration of the convention;
k) an environmental impact study.
The convention is signed by the Minister and the applicant(s) for the hydrocarbon exploration permit, subject to the review of the fiscal and financial provisions by the Minister of Finance. Said review is deemed favorable if, at the end of fifteen days from the date of receipt of the request for review, no continuation is given to said request.

Said convention is approved by the President of the Republic and published in the Official Gazette, and must be registered in accordance with the conditions provided by law.

ARTICLE 18

The holder of a hydrocarbon exploration permit must agree to perform, during the initial period and, if applicable, during each renewal period, the minimum exploration work program stipulated in the convention.

ARTICLE 19

If the holder of a hydrocarbon exploration permit does not fulfill the work obligations provided in Article 18, it shall pay to the State the indemnification stated in the convention.