Sao Tome delegation in Nigeria to discuss oil concessions

7 February 2006

Sao Tome, Sao Tome and Principe, 07 Feb – A ministerial delegation from Sao Tome and Principe has been in Abuja, Nigeria, to discuss issues relating to joint oil exploration, Portuguese news agency Lusa reported Tuesday.

Sao tome’s Minister of Natural Resources, Deolindo Da Costa told Lusa that the meeting would discuss the second auction of five oil blocs in the area in order to seal the deal for dividing production with the concession companies.

The process of granting concessions on the five blocs has been stalled since the end of 2005 due to alleged irregularities discovered by the Sao Tome authorities related to selection of the companies, which has made it impossible to finish the deal.

The two parties are also expected to approve the annual budget for the joint exploration authority, which spends around US$9 million per year. (macauhub)