Australia’s Woodside has entered into a farm-in deal that will see it invest in oil and gas exploration in the Doukkala Basin region, Morocco. This is part of the company’s strategy to invest in new basins.
Signed with Chariot Oil and Gas, the deal will see the company initially take 25% stake in Rabat Deep Offshore permits 1-VI and might add a further 25% in exchange for a capped well carry commitment. This is according to the company’s news release.
The Rabat Deep Offshore permits 1-VI cover a 10,782 sq km of land with water depth from 492 ft to 11,808 ft.
However, the area will still be under the control of Chariot, which has 50% stake equity. 25% stake is owned by the Morocco’s Office National des Hydrocarbures et des Mines (ONHYM) in carried interest.
“Exploration in this basin aligns with our strategy to secure new international growth opportunities in frontier and emerging basins characterised by materiality and quality.” Chief executive at Woodside, Peter Coleman said.
This comes at a time when the country has given a boost to oil and gas industry, with 34 international oil and gas companies operating in Morocco ort more already in the Morocco oil and gas industry. The country is hoping to add 30 wells into its portfolio of wells to boost incomes from the industry.
