Re-assignment of Kenya energy blocks announced

Swala Energy

Swala Energy

from MARIA MACHARIA in Nairobi, Kenya
NAIROBI – SWALA Energy Limited, the Australian company, welcomed the resolution of disagreements around its operations in Kenya.

On Monday, the form provided an update following further developments in relation to Block 12B in the East African country.

Swala advised the farm out of 25 percent of the participating interest in Block 12B to CEPSA Kenya Limited (“CEPSA”), an affiliate of Compañía Española de

Petróleos, S.A.U., in June. The following month, the company advised that CEPSA had informed it of its decision to withdraw from the licence with an effective date of August 31.

Following further discussions between the parties to the Joint Operating Agreement (“JOA”), CEPSA will now re-assign to Swala the entire 25 percent participating interest such that the participating interests effective from the September 1 should be Tullow Oil Kenya B.V. 50 percent Swala Energy (Kenya) Limited 50 percent.

CEPSA and Swala will immediately move to formalise the necessary deeds of assignment regarding the participating interest, and terminate the arbitration proceedings.

“These positive discussions between the parties to the JOA have allowed the participants in the Block 12B licence to constructively resolve a number of differences that have arisen. We look forward to completing the assignment of the equity and to continuing with the exploration and development of this exciting licence,” Dr. David Mestres Ridge, Swala’s CEO, said.

– CAJ News





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Posted by on Nov 10 2014. Filed under Energy, Finance, Finance & Banking, Oil & Gas. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

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