Sound Energy has initiated the process of converting the existing 27.5% synthetic interests held by an affiliate of Schlumberger Oilfield in the Tendrara Lakbir permits, the Anoual permits and the Matarka reconnaissance licence (together the Eastern Morocco Portfolio) into 27.5% joint venture license participating stakes in the Eastern Morocco contract area.
Image: Schlumberger complex in Sugar Land, Texas. (Credit: WhisperToMe/Wikipedia.org)
Sound Energy will remain the operator of the Eastern Morocco Portfolio.
In accordance with Moroccan requirements, the conversion of Schlumberger’s interests are subject to the approval of the licence joint venture partners and the relevant Moroccan ministries.
The Company’s interests in the Eastern Morocco Portfolio consist of an operated 47.5% participating interest. The remaining interests in the Eastern Morocco Portfolio are held 27.5% by Schlumberger pursuant to an existing Field Management Agreement entered into with the Company (prior to the interest conversion now initiated) and 25% by Morocco’s L’Office National des Hydrocarbures et des Mines.
Sound Energy also confirms that it has entered into a revised Field Management Agreement with Schlumberger which re-confirms the parties’ materially unchanged working relationship post-conversion and their intention to continue to collaborate strategically across their interests in the Eastern Morocco Portfolio, including in relation to the development of the existing Tendrara discovery and to the drilling at Tendrara, where Sound Energy and Schlumberger have now approved the first two defined wells, namely TE-9 and TE-10.
Following the recent application for a development concession relating to the Tendrara gas discovery (the “Development Concession”), Sound Energy and its licence Joint Venture partners intend to apply for a new 8-year petroleum agreement over the entire, combined, Eastern Morocco Portfolio area (except the areas relating to the Development Concession and to the Anoual petroleum agreement) shortly.
Further announcements will be made, as appropriate, in due course.
Sound Energy CEO James Parsons said: “I am delighted to have begun the process of bringing Schlumberger directly onto the various licences in Eastern Morocco and look forward to further drilling success together.”
Source: Company Press Release