Cameroon Clears New Etinde Licence

UK-based New Age (African Global Energy) has secured formal government approval to apply for a new exploitation agreement for the Etinde block in the shallow waters off Cameroon, its London-listed partner Bowleven said on January 25, providing the project with greater certainty.

The new agreement covers hydrocarbon production and the delivery of gas to thermal power plants and other destinations, Bowleven said. The approval follows talks with national oil and gas company Societe Nationale des Hydrocarbures.

"This is very positive news for the Etinde development, as it essentially eliminates the possibility of the government of Cameroon removing the Etinde licence from the JV partners, following the end of the initial six year development implementation period in January 2021," Bowleven CEO Eli Chahin said.

Etinde contains the IM gas condensate field. The partners are targeting a final investment decision at the site in 2021, after delaying the step from last year. Development will involve a wellhead platform tied to an onshore gas processing, storage and export facility.

TechnipFMC was awarded a front-end engineering design (Feed) contract for the project in March last year. New Age earlier signed a letter of intent on the supply of Etinde's gas to London-listed Victoria Oil and Gas, to supplement the latter's own supplies to Cameroon's power sector.