Morocco and the British company of Sound Energy have reached an eight-year agreement for onshore petroleum exploration in the central Moroccan town of Sidi Moktar, the British company announced on Monday.
The Petroleum Agreement has been granted to Sound Energy by L'Office National des Hydrocarbures et des Mines (ONHYM), the Moroccan state regulator for petroleum operations, and will come into force on approval of the Moroccan Energy and Finance Ministries, the British company said in a statement.
The Agreement covers some 4,499 square km and will be named "Sidi Moktar Onshore," the same source pointed out.
Upon the Sidi Moktar Petroleum Agreement becoming effective, the Company will hold an operated 75 percent position in Sidi Moktar Onshore, while the remaining 25 percent will be held by ONHYM, it noted.
The Sidi Moktar Petroleum Agreement will have a duration of eight years from award and, as with all Moroccan licences, will be divided into three phases, with each phase having pre-agreed work commitments.
The British company has been active in gas exploration near the northern city of Kenitra as well as the eastern town of Tendrara.
Editor:Amber
