Australian listed petroleum exploration company, FAR Ltd commences data acquisition of their anticipated 3D seismic survey over some of the world’s most keenly sought petroleum exploration acreage off the coast of Kenya. The survey will cover 680km2 and is budgeted to cost $13.67M (FAR Ltd share $8.2M). The seismic survey is scheduled to commence acquisition this Friday (15 June) and to be completed in early July. FAR Ltd’s L6 permit off the Kenya coast lies in the Lamu Basin, north of recent, world scale, natural gas discoveries totalling around 100 trillion cubic feet off the coasts of Mozambique and Tanzania.
FAR Ltd managing director, Cath Norman said, “Drilling in the Rovuma Basin off the coast of Mozambique and Tanzania, has so far achieved a near perfect success rate.” “Much of that success has stemmed from the use of modern, high quality, 3D seismic data which is able to provide quality images of potential structures deep beneath the surface.” “FAR has mapped a total of seven prospects in the L6 permit which we aim to better define using the 3D seismic and greatly enhance our chance of success in ahead of drilling next year.”
The L6 permit is in the Lamu Basin, offshore Kenya. FAR operates the block with 60% equity and has a 30% interest in the L9 block. The next well to be drilled in the basin will be the Mbawa prospect in Block L8 by Apache Corporation in August this year. Anadarko Petroleum Corporation has announced plans to drill the first of its wells before year end (Blocks L5, L7, L12, L11A, L11B) and BG is preparing to drill its first well offshore Kenya at the end of 2012 (Blocks L10A and L10B). FAR will be drilling their first well in mid 2013 on Block L6.
Cath Norman said, “The value of exploration acreage in the offshore waters of Kenya, Tanzania and Mozambique has been significantly enhanced in the past year by several major gas discoveries by Anadarko Corporation, ENI, Statoil and BG. These discoveries are publicly stated to contain up to 100 trillion cubic feet of gas.” “FAR believes this acreage has the potential to generate very significant shareholder wealth in coming months,” said Ms Norman.