Tullow Oil Plc, the independent oil and gas exploration, development and production company, announced Monday that it has executed an agreement with AGIP Algeria Exploration BV to acquire a 30 percent participating interest in Block 222b, onshore Algeria, according to a press release, published on its website.
It is the first time that Tullow has undertaken a project in Algeria, the statement said.
According to the Tullow, the agreement remains subject to an official approval by Sonatrach and the competent Algerian Authorities.
Block 222b is located in the eastern part of Algeria. The original petroleum contract was executed between AGIP Algeria Exploration BV and Sonatrach in May, 1999.
The partners to the Block are now AGIP Algeria Exploration BV (Operator, 50 percent), Tullow Algeria Limited (30 percent) and Teikoku Oil (Algeria) Co., Ltd (20 percent).
The press release said that the first exploration period will run for three years from May, 2000 until May 2003, during which time a minimum of one exploration well will be drilled.
The total amount of minimum investment during the three year period corresponds to US$8 million (Tullow share $2.4 million) – Albawaba.com