Sao Tome and Principe: Sao Tome and Principe and Equatorial Guinea want joint oil exploration agreement

3 March 2008

Sao Tome, Sao Tome and Principe, 3 March – Sao Tome and Principe and Equatorial Guinea plan to set up a joint oil exploration agreement for the sea border area between the two countries, the president of Equatorial Guinea, Teodoro Obiang Nguema said Friday.

The announcement by Obiang Nguema was made public by Sao Toem and Principe Television, TVS, in report on Thursday’s visit by Sao Tome President, Fradique de Menezes, to Malabo, the capital of Equatorial Guinea.

Having admitted that there could be a future joint oil bloc, Obiang Nguema noted that ‘we are studying the possibility of a joint bloc in the delimitation area.”

Nguema said that the revenues from the bloc should be divided according to the potential of the blocs and their location.

The agreement, which will also involve interested oil companies, will be drawn up by a mixed commission made up of technicians from the two countries as well as international consultants, according to the memorandum signed Thursday in Malabo as a basis for cooperation.

As well as the oil sector, the cooperation agreement between Sao Tome and Principe and Equatorial Guinea also covers the forestry, infrastructure, education and transport sectors. (macauhub)