Vanco clinches first PSC off Madagascar

March 20, 2001
US independent Vanco Energy Co.'s Madagascar subsidiary Monday signed a production sharing contract to explore the Majunga Offshore Profond block in the deepwater Majunga basin off East Africa. Operator Vanco Madagascar Ltd. said the area is "a little explored region" off Madagascar's northwestern coast.


By the OGJ Online Staff


LONDON, Mar. 20�US independent Vanco Energy Co.'s Madagascar subsidiary Monday signed a production sharing contract to explore the Majunga Offshore Profond block in the deepwater Majunga basin off East Africa.

Operator Vanco Madagascar Ltd. inked the PSC with the country's Office des Mines Nationales et des Industries Strat�ques for what Vanco described as "a little explored region" of the basin, off Madagascar's northwestern coast adjoining the Mozambique Channel.

The block, in 1,000-3,000 m of water, covers 14,865 sq km.

"Our study shows that the Majunga basin is a salt basin with numerous structures, probably Cretaceous in age," said Vanco Pres. Gene Van Dyke, noting that the company had been studying the East Africa region for over a year, with a focus on the Majunga basin.

Terms of the PSC for Majunga Offshore Profond, Vanco's first license off East Africa, call for data processing and studies in the first 2-year phase and 2D seismic acquisition in the second 2-year phase.

Vanco said it plans to begin a 1,900-km 2D seismic program in May to establish a reconnaissance data grid for the block.