Cairn takes 7,490 sq km farmout offshore Senegal

Cairn Energy PLC will take a farmout from an Australian company and become operator of three exploratory blocks offshore Senegal.

Cairn Energy will take a 65% working interest in the contiguous Rufisque, Sangomar, and Sangomar Deep blocks on which a number of drillable prospects have been developed.

The farmor, FAR Ltd., Melbourne, retains 25% working interest, and Senegal’s state Petrosen has 10% carried. FAR Ltd. said a well could be drilled as early as 2014.

Cairn is to fully fund the 100% costs of one exploratory well to an investment cap. Thereafter exploration costs will be apportioned Cairn 72.2% and FAR 27.8%, and Petrosen is carried. As part of the transaction, Cairn will also pay 72.2% of the $10 million in costs FAR has incurred on the blocks.

The working and paying interests for any development will be Cairn 59.2%, FAR 22.8%, and Petrosen 18%. Cairn will retain certain preferential rights should FAR wish to farm down further equity later.

The three blocks total 7,490 sq km from near shore to deep water over the shelf, slope, and basin floor of the Senegalese part of the productive Mauritania-Senegal-Guinea-Bissau basin. The acreage is covered by a 2,050 sq km of 3D seismic survey, and a number of play types, leads, and prospects have been identified.exp

Related Articles

Tullow advances Kenya exploration program

03/28/2014 Tullow Oil PLC has moved forward with exploration and appraisal activities conducted by four rigs operating on Blocks 10BB and 13T onshore Kenya.

Lundin completes appraisal wells for Johan Sverdrup

03/28/2014 Lundin Norway AS, a wholly owned subsidiary of Lundin Petroleum AB, has completed Johan Sverdrup appraisal wells 16/3-8 S and 16/3-8 S T2 in the ea...

Kentucky: Daybreak begins 2014 drilling campaign

03/28/2014 Daybreak Oil & Gas Inc., Spokane, Wash., has drilled the first well in its 20-well development drilling program for the 2014-15 fiscal year at ...

BLM seeks comments on Noble’s proposed Nevada gas exploration

03/27/2014 The US Bureau of Land Management is seeking comments on Noble Energy Inc.’s proposed natural gas exploration drilling on leases it holds in the Tab...

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!


Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected