Kerr-McGee Angola Ltd, a wholly owned affiliate of Kerr-McGee Oil & Gas Corp, has signed an agreement with Angola's national petroleum company, Sonangol, to explore for hydrocarbons on block 10 offshore Angola.
The agreement gives Kerr-McGee a 25% contract interest in block 10, which is operated by Devon Energy with a 35% contract interest. Sonangol and affiliates retain a 40% contract interest.
The block is located offshore the town of Lobito. It extends from the coastline to 30 miles offshore and covers approximately 1.2 million acres with water depths extending to around 3,300 feet. Kerr-McGee anticipates drilling one to two wells on block 10 this year.
Obtaining interest in this offshore Angola block is consistent with our strategy of pursuing high-potential exploration opportunities in proven world- class petroleum provinces, said Dave Hager, Kerr-McGee senior vice president responsible for oil and gas exploration and production.
We appreciate the cooperation of Sonangol and look forward to another deepwater partnership with Devon, added Hager.
Financial terms of the agreement have not been disclosed.