Italian oil group ENI to drill more wells in Rovuma basin, Mozambique

26 April 2011

Maputo, Mozambique, 26 April – Italian oil group ENI plans in August to start drilling new wells for oil and gas prospecting in the Rovuma sedimentary basin in Mozambique, the chairman of Mozambique’s National Oil Institute told Mozambican newspaper Notícias.

António Mabote did not say how much ENI planned to invest in the drilling but noted that, initially, the Italian group would drill two test wells.

Similarly to the Mozambique sedimentary basin, the Rovuma basin is one of the most active in terms of oil and gas prospecting and research, and thus has a large number of subsidiaries of international groups working there.

One of those companies is Anadarko Mozambique Exploration which, in the last few years, has invested around US$270 million in drilling six wells, some of which resulted in the first discovery of considerable quantities of hydrocarbons in the Rovuma basin.

The company, which is headquartered in Texas, is now focused on evaluating the results obtained with a view to determining the real quantities of hydrocarbons in the area under its concession with a view to moving on to the next phase in the process, which is to negotiate exploration contracts with the Mozambican government.

Notícias said that, as well as the ENI group, companies with concessions on other blocks in the region are preparing to drill wells, which may confirm the existence of oil in the area.

There are great expectations in Mozambique about a possible oil discovery as it is expected that this would lower the cost of importing liquid fuel, which currently cost US$500 million per year. (macauhub)