Predator Gets Moroccan Licence Near Tendrara

Jersey-based minor independent, Predator Oil & Gas Holdings, said November 30 that its application for an exclusive oil and gas licence onshore northeast Morocco has been accepted by state agency ONHYM. The formal award is subject to Predator providing a bank guarantee and a formal signing ceremony. The licence will be for eight years, split into three phases of 30 months, 3 years and 30 months respectively.  

The licence covers 7,269km² comprising the Guercif Permits I, II, III and IV, lying east of the producing gas fields of the Gharb Basin and northwest of the Sound Energy-operated Tendrara gas project.

Predator will be operator with 75% equity interest while ONHYM will retain 25% and has the right to "back-in" for up to and including a further 25% equity if the licence is developed, if it pays its share of costs. Predator's work programme for the initial 30-month period will include 250km of reprocessing of existing seismic data and the drilling of one well to a minimum depth of 2,000 meters to test for gas.

Its CEO Paul Griffiths said: "Guercif represents a high impact, low cost, near-term drilling opportunity in a sophisticated and stable business and operating environment that is well understood by management." The company said its initial target for gas lies just 9km north of the Maghreb-Europe gas pipeline (that flows Algerian gas to Spain) and which has spare capacity. It added that government taxes are confined principally to a 5% royalty for gas and 30% corporation tax but with a total exemption for the first 10 years of production.