Strategic Relevance of the Rovuma Onshore Block
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Mainland Area: |
801,590 Square Miles |
| Population: |
Approximately 20 million |
| Government: |
Democratically elected republic |
Positive Economic and Social Outlook
Mozambique is an independent republic located on the south-east coast of
Africa between Tanzania and South Africa. The capital city is Maputo,
located in the southern most region of the country. The General Peace
Agreement, reached in October 1992, ended 16 years of civil conflict,
following which the country has made substantial economic and social
strides, fuelled in part by expanding foreign direct investment.
Strategic Relevance of the Rovuma Onshore Block
The Rovuma Onshore Block One covers an area of approximately 15,000
square kilometers in the hydrocarbon prospective Rovuma Basin in
Northern Mozambique. The Block provides Artumas with a strategic
concession immediately adjacent to the Company’s Mnazi Bay Concession in
Tanzania.
In mid 2005, The Mozambique government initiated its Second Licensing
Bid Round, and based on a technical review of existing seismic data,
Artumas bid on two blocks, successfully acquiring an exploration and
production license for the Rovuma Onshore Block One. Numerous major
international oil and gas companies participated in the licensing bid
round, and Artumas emerged along with Anadarko Petroleum, ENI, Petronas
and Norsk Hydro (now StatoilHydro) as the successful bidders.
Artumas has partnered with Anadarko Petroleum Corporation in an
exchange of interests agreement over the onshore and offshore
exploration blocks in northeastern Mozambique. The agreement provides
Artumas with a major international partner in its exploration and
production operations over its onshore concession, as well as an
interest in Rovuma Basin Offshore Area One Block. Artumas has a 49.3%
interest in production from the Rovuma Onshore Block and an 8.5%
interest in production from the Rovuma Offshore Area 1 Block.