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(Alliance News) - Sound Energy PLC on Tuesday said it been awarded a two-year extension for its onshore Sidi Moktar permit following disruptions caused by Covid-19.
The Moroccan-focused upstream gas company said the extension was approved by Moroccan authorities so it can complete a committed work programme, which has been delayed by the virus pandemic.
The new permit will conclude around October 2022.
The Sidi Moktar permits cover 4,712 square kilometres in the Essaouira basin in central Morocco and had an initial period of two years and six months. The company holds an operated 75% position in the permits with the remaining 25% held by the state-owned Office National des Hydrocarbures et des Mines.
Chief Operating Officer Mohammed Seghiri said: "We are not alone in dealing with the disruptions brought about by the Covid-19 pandemic and we are pleased that ONHYM have signed an amendment to extend the initial period extension by 2 years in order to complete our exploration operations. We continue to look forward to unlocking the prize of the pre-salt potential that we believe exists in this area."
Sound Energy shares were up 3.4% at 1.37 pence each in London on Tuesday morning.
By Greg Roxburgh; gregroxburgh@alliancenews.com
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