Wildcat Petroleum PLC signed a memorandum of understanding (MOU) to work with the Sudanese Oil Ministry to advance development and commercial exploitation of hydrocarbon assets in Sudan.
The aim is to increase overall oil production by 100,000 b/d by developing Blocks 1, 3, 4, and 5. All four blocks are producing and together contain over 1 billion bbl oil (reserves and resources). The blocks are connected to existing transport infrastructure with spare capacity to handle and transport increased oil production, the company said in a release Oct. 17.
Specific details on funding were not provided other than Wildcat does not itself expect to fund significant capital expenditure and that the company will update the market as and when any specific funding arrangements are reached. The company said it has been in preliminary talks with hedge funds, a UK-listed multi-national oil company, oil funds, and individuals.
Wildcat expects to have multiple oil projects running across each of the four blocks next year.
The initial MOU period runs until Dec. 31, 2022, with an extension option upon approval of both parties.
