Exxon Dives into Offshore Tanzania

In a move a bit out of character, ExxonMobil has signed an agreement that will see the US supermajor enter East Africa’s Tanzania.

Statoil out of Norway announced today that it is farming out a 35% interest in its operated Block 2 offshore Tanzania to an ExxonMobil subsidiary.

The agreement, executed between Statoil Tanzania AS and ExxonMobil E&P Tanzania Ltd., was approved by the Tanzania government on March 9. Statoil will maintain a 65$ interest while ExxonMobil will hold the remaining 35%.

Statoil signed a Production Sharing Agreement on April 18, 2007 with the Government of the United Republic of Tanzania and the Tanzania Petroleum Development Corporation (TPDC).

Offshore Tanzania is considered a frontier exploration area. A phase of 2D seismic acquisition was completed in 2008 and the acquisition of a 3D seismic survey was completed over the 11,099 sq km block in February this year.

“Statoil is looking forward to working with ExxonMobil in our frontier acreage offshore Tanzania. This is a deepwater environment and both companies have extensive deepwater experience,” says Tim Dodson, senior vice president Exploration.”

Source: Petroleum Africa, Wednesday, 31 March 2010