SISPRO, a Guyanese-owned oil company, has announced a partnership with Nigeria’s Bono Energy for offshore oil exploration in Guyana. The collaboration will focus on one shallow and one deep-water offshore concession, with a potential investment of up to US$600 million.
Bono Energy officials, including Director Deji Fawole and Head of Legal and Compliance Leke Solanke, are currently in Guyana to finalize exploration agreements with the Ministry of Natural Resources. Fawole stated, “We are in partnership with SISPRO to develop the shallow water and the deep-water blocks in Guyana and we have funding to the tune of about US$600 million for both assets to start up with. We’re committed to local content development in Guyana and to work with the Ministry of Natural Resources to develop the oil and gas industry.”
The signing bonus for the agreement is expected to be just under US$14 million, which will be paid within 30 days. Fawole also mentioned that additional work would be conducted in the blocks, benefiting from seismic data gathered by the Guyana government. Preliminary assessments suggest that the shallow block may contain an estimated 300 million barrels of oil.
SISPRO Company Secretary Abbigail Loncke-Watson indicated that the initial investment could range between US$150 million and US$200 million. However, Natural Resources Minister Vickram Bharrat noted that if SISPRO does not resolve its internal issues, the government may rescind the oil blocks and include them in a future bid round.
Bharrat emphasized the need for SISPRO to address its internal matters, stating, “I don’t want to speak on their internal issues… But they do have issues internally. Government has been very lenient, mainly because this is a Guyanese company.” SISPRO Chairman Dr. Ayodele Dalgety-Dean expressed confidence that the agreements would be signed soon, addressing concerns about beneficial ownership that had previously caused confusion. The beneficial owners, as registered, include Dr. Dalgety-Dean, Loncke-Watson, and Dr. Melissa Varswyck, with the hotelier Dee George having resigned as a director and not being a beneficial owner.
Source: demerarawaves.com
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