Hyperdynamics subsidiary SCS, South Atlantic Petroleum (Sapetro) and the Government of the Republic of Guinea have signed a third amendment to the 2006 production sharing contract (PSC).
The amendment will become effective after it gets approved by decree of the President of the Republic of Guinea.
Go deeper with GlobalData
Under the third amendment, 50% of SCS's participating interest in the Guinea concession will be assigned to Sapetro.
It also provides the right to these two companies to explore oil and gas on a 5,000km² block located offshore from the Republic of Guinea.
Under the contract, drilling operations must begin on an initial exploratory well before 30 May and additional exploration wells may be drilled within the exploration period at the companies’ discretion.
See Also:
The amendment also reaffirms clear title of Sapetro and SCS to the concession and timing for a $5m security instrument to be provided by the companies within 30 days from the date of the presidential decree and released at that time when the drilling rig for the Fatala well enters Guinea territorial waters.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataThe third amendment of the PSC puts multiple liabilities on SCS and Sapetro towards the Government of Guinea.
Earlier, SCS and Sapetro signed a farm-out agreement that sets out terms for both the companies to work on the project.
