A unit of DNO International ASA, Oslo, has taken a farmout on the Sfax Offshore exploration permit and the Ras El Besh concession in Tunisia from Atlas Petroleum Exploration Worldwide Inc. and Eurogas International Ltd.
The agreement contemplates the transfer to DNO Tunisia of an 87.5% participating (100% paying) interest in the permit and concession. DNO Tunisia will assume operatorship and a prorata share of the existing cost oil pool. Completion of the transfer is subject to approval by Tunisian authorities and other conditions.
The permit and concession cover a combined 3,296 sq km in the Gulf of Gabes mostly in shallow water. To date, three discoveries have been made with a combined 35-60 million bbl of gross recoverable oil resources. The assets also contain 29 identified prospects which in the aggregate are estimated to contain 500-700 million bbl of gross unrisked oil resources.
The initial work plan includes drilling two exploratory/appraisal wells in 2014, one on the Salloum discovery and the other on the Jawhara discovery. The 1991 Salloum-1 well tested 1,848 b/d of oil, and the 1976 Jawhara-1 well tested 1,484 b/d of oil. The 1997 Rash El Besh-1 well tested 612 b/d of oil.
DNO International currently holds interests in the Hammamet Offshore exploration permit and the Fkirine prospecting permit.