Sao Tome, Sao Tome and Principe, 5 March – The British Geological Survey (BGS) is set to begin a reassessment survey of the seismic data on the existence of oil in the exclusive economic area of Sao Tome and Principe, the Sao Tome National Oil Agency (ANP) said Friday in Sao Tome.
According to ANP’s bulletin, the consortium made up of Britain’s BGS and Aupec, will reassess a seismic survey carried out by Petroleum Geo-Service (PGS), of Norway, which was the basis for an agreement signed in 2001 with the Sao Tome authorities.
The process of reassessing the seismic survey, which also has the assistance of the World Bank, is due to be concluded at the beginning of May, according to ANP’s bulletin, published over the weekend in the capital of the archipelago.
PGS’s surveys showed geological structures that may contain hydrocarbons totaling 10,870 square kilometers in deep waters in the seas off the archipelago, in a survey which was intended to assess the existing oil potential in the area.
BGS, which was hired following a public tender launched by ANP, is responsible for producing a specific map of the area, containing the potential division of oil blocs, as well as recommending further seismic surveys.
The reassessment essentially aims to be the basis for an initial auction of blocs in the exclusive economic area of Sao Tome and Principe, planned for the end of 2007, according to the ANP’s quarterly bulletin.
As well as its exclusive area, Sao Tome and Principe also has a joint exploration area with Nigeria base don a treaty stating that Nigeria receives 60 percent of revenues while 40 percent goes to Sao Tome.
As well as revenues from the Chevron Texaco bloc, in which the US company has already struck oil, Sao Tome and Principe also expects revenues of a further US$28 million this year from the signing bonus from three joint area blocs. (macauhub)