Bowleven today announced that New Age Ltd (New Age), Operator of the Etinde licence, has received formal approval to apply for a new Etinde Exploitation Agreement (EEA). This would replace the  existing EEA which came into force by Presidential decree in January 2015. 

Map source: KeyFacts Energy

The agreement was reached following discussions with the Government of Cameroon's representative, Société Nationale des Hydrocarbures, the national oil and gas company of the Republic of Cameroon (SNH). The authorisation is based on the following general terms:

The new EEA would be for the production of hydrocarbons including the delivery of gas to thermal power plants or any other projects confirmed by the State.

Commenting on the announcement, Eli Chahin, CEO of Bowleven, said:
"We are pleased to announce that following a constructive dialogue between the Etinde JV partners and SNH, authorisation to apply for a replacement EEA has been granted.  This is very positive news for the Etinde development, as it essentially eliminates the possibility of the Government of Cameroon removing the Etinde licence from the JV partners, following the end of the initial six year development implementation period in January 2021.

The JV partners continue to make good progress towards achieving a Final Investment Decision on the licence in 2021 and I look forward to keeping all our stakeholders updated on developments over the coming months."

Etinde     

• Operator: NewAge: (37.5%)     
• Other Participants: Lukoil (37.5%), Euroil (Bowleven) (25%)
• Discoveries: Etinde gas condensate field (multiple reservoirs)     

Etinde Permit (former Block 7) has been extensively explored and 15 exploration and appraisal wells have been drilled since 1967, of which 13 discovered hydrocarbons. Four separate reservoirs are proven producers: Biafra, Upper Isongo, Intra-Isongo and Middle Isongo. Although the Intra-Isongo sands have only been drilled by one penetration, this zone contains thick, high quality sands, which extend across the block. Delineating and extending this important discovery will be a key objective of the future work plan. 

Etinde Permit lies in shallow water in the Rio del Rey Basin, offshore Cameroon, and comprises four proven reservoir intervals within the Pliocene and Miocene formations.

The principal discoveries lie within the Miocene Isongo formation with the Upper Isongo and Intra Isongo reservoirs having tested wet gas and oil in several wells across the block. The deeper Middle Isongo formation has proven productive in the western part of the block by two wells. A secondary pay interval is the Biafra formation which tested dry gas in very high quality sands in three wells within the Pliocene. In addition to the proven reservoirs, a rich portfolio of undrilled prospects and leads provides significant upside to the future potential of the block.

KeyFacts Energy: Bowleven Cameroon country profile