The opening of Equatorial Guinea’s Licensing Round (“EG Ronda 2016”) took place at the Africa Oil & Power Conference on 6-7 June 2016 in Cape Town, South Africa. The invitation to participate took place at a Market Spotlight session on Equatorial Guinea.
H.E. Gabriel Mbaga Obiang Lima, Minister of Mines, Industry and Energy for Equatorial Guinea commented, “we welcome investors to join us in Cape Town to learn more about our country and the enormous oil and gas exploration opportunities that are still available.”
EG Ronda 2016 opens up all acreages not currently operated or under direct negotiation. This comprises 37 blocks in total (32 of them offshore) including Block A-12, which was recently relinquished by Marathon Oil.
The Ministry of Mines, Industry and Energy will publicise the bidding round during the Africa Assembly, which takes place in London on 20 June 2016, as well as in Singapore, Istanbul and Houston later in the year. EG Ronda 2016 will be open for bidding by interested parties until 30 November 2016. Evaluation or bids and announcement of winners will take place in January 2017, after which the Government of Equatorial Guinea will negotiate with the licence winners.
Equatorial Guinea, the only Spanish-speaking country on the continent, has partnered with major international oil companies for the past two decades in order to develop a vibrant and growing exploration and production industry. This focus on growth and desire to attract industry players of varying sizes and backgrounds has accelerated growth and propelled the country to the third-largest exporter of hydrocarbons in sub-Saharan Africa.
EG Ronda 2016 gives further opportunity for investors to explore for the country’s vast resources, alongside GEPetrol and SONAGAS, the national oil and gas companies. We will be tracking the bid process and the level of interest shown in the new round.