The Cameroon government has awarded a group led by a unit of Dana Petroleum PLC, Aberdeen, a production sharing contract for the Bakassi West block in the Rio Del Rey basin adjoining the marine border with Nigeria.
The area covers nearly 390 sq km in shallow water. Dana is operator with 55% interest. Madison Cameroon Oil & Gas Ltd., an affiliate of Madison PetroGas, Calgary, has 35%, and SoftRock Oil & Gas Ltd., Douala, has 10%.
Work is to start almost immediately with data gathering and geological studies. Dana plans seismic in 2013 and 2014 and drilling by 2015. The 4-year, $31 million work program involves 250 km of 2D seismic, one commitment well, and one contingent well.
Depending on results, the program could be extended to two further periods of 2 years each. The supplementary periods would include 100 km of 2D seismic and the drilling of at least one exploration well per period. The total minimum investment for all three periods of 8 years’ duration is $71 million.
