ZAMBIAN GOVERNMENT GIVE SOUTH AFRICAN RAPID AFRICAN ENERGY LIMITED LICENCE FOR OIL EXPLORATION

GOVERNMENT HAS DEMARCATED ONE OF THE MAJOR BLOCS OUT OF 43 EARMARKED FOR OIL EXPLORATION TO SOUTH AFRICA’S RAPID AFRICAN ENERGY LIMITED IN ITS PURSUIT FOR THE COUNTRY TO BE SELF RELIANT IN CRUDE OIL AND GAS.
THE BLOC 31 WHICH EMBRACES LUAPULA AND NORTHERN PROVINCES AND ONE OF THE BIGGEST AMONG THE TOTAL BLOCS WOULD BE UNDERTAKEN BY SOUTH AFRICA’S RAPID AFRICA ENERGY OWING TO ITS CAPACITY.

THE BLOC WAS DEMARCATED BY THE MINISTRY OF MINES AS THE COUNTRY SEEKS TO EXPLOIT ITS MINERAL AND OIL POTENTIAL IN VARIOUS PARTS OF THE COUNTRY.
THE BLOC 31 HAS A HIGH POTENTIAL FOR PETROLEUM AND IS ONE OF THE 7 GOVERNMENTS WHOLLY OWNED BLOCS ADDING THAT WHEREAS THE BULK OF THE BLOCS WERE BEING EXPLORED BY PRIVATE COMPANIES, THE GOVERNMENT WANTED TO EXPEDITE EXPLORATION WORKS IN THE SEVEN BLOCS UNDER STATE CONTROL TO MAXIMIZE ON THEIR POTENTIAL.

IT IS GOVERNMENT’S VIEW THAT THE SEVEN BLOCS RESERVED TO THE GOVERNMENT HAD 100PERCENT OIL AND GAS AND THAT IS WHY IT SEEKS TO AWARD TO CREDIBLE COMPANIES THAT WOULD ENSURE THAT RAPID AFRICA ENERGY LIMITED UNDERTOOK THE TASK.
THE MINES AND MINERAL MINISTER HAS STRESSED THAT ALL THE BLOCS THAT WERE TARGETED FOR THE PRIVATE SECTOR HAVE ALL BEEN TAKEN UP FOR EXPLORATION AS IT IS GOVERNMENT’S VIEW THAT THE MORE IT SPREADS ITS RESOURCES IN EXPLORATION THE BETTER FOR THE COUNTRY AS THERE WAS LIKELIHOOD THAT OIL AND GAS WOULD BE DISCOVERED IN THE RESERVED AREAS.

GOVERNMENT SEEKS TO RETAIN AT LEAST 35PERCENT EQUITY IN THE COMPANIES TO DO EXPLORATION IN THE GOVERNMENT OWNED BLOCS WHICH ACCORDING TO ANALYSTS ARE THE RICHEST IN OIL AND GAS RESERVES.

IN THE PRIVATE BLOCS REMAINING, THERE WAS OVERWHELMING RESPONSE FROM POTENTIAL BIDDERS RESULTING IN ALL BEING TAKEN UP BY INTERESTED PARTIES.
RAPID AFRICAN ENERGY PLANS TO START EXPLORATION WORKS IN THE 31 BLOC SOON TO ENSURE AMPLE TIME WAS SECURED TO DO A GOOD JOB.
AND THE FIRST BIDDING ROUND ALSO FOR 23 OIL BLOCKS CLOSED BACK ON NOVEMBER 6TH 2009 AND 11 BLOCKS WERE AWARDED TO THE WINNING BIDDERS IN MID NOVEMBER.

FOUR FOREIGN COMPANIES AND FOUR ZAMBIAN FIRMS PARTICIPATED IN THE FIRST ROUND NAMELY BRITAIN'S GP PETROLEUM AND PETRODEL RESOURCES, GLINT ENERGY OF THE UNITED STATES AND EXILE RESOURCES OF CANADA WERE CHOSEN ALONG WITH ZAMBIAN FIRMS MAJETU, BAROTSE PETROLEUM COMPANY AND CHAT MILLING COMPANY LIMITED.

published by augustine