Uchenna Izundu
International Editor
LONDON, Feb. 5 -- Aminex PLC has farmed out a 20% interest in its Nyuni East Songo Songo license off Tanzania to Key Petroleum Ltd.
In exchange Key will fund 30% of the costs for the two exploration wells on Nyuni, one will be spudded in the second quarter and the other will be drilled later in the year. Key also will contribute 10% of all license costs, which are estimated at $2.5 million and have been backdated to Nov. 1, 2006.
If the combined cost of the two proposed wells at Nyuni should exceed $15.4 million, then Key will only be obliged to pay 20% of the excess cost over this amount, the company said.
Aminex and its partners have shot extensive new seismic data over shallow reefs and islands and are close to finalizing the location for the first Nyuni well in the current program.
Existing partners in Nyuni are Aminex 84%, Bounty Oil 6%, and East Africa Exploration Ltd. 10%. Discussions are continuing with Pan-African Tanzania Ltd., a subsidiary of East Coast Energy Ltd., to participate in Nyuni.
Contact Uchenna Izundu at [email protected].
