LONDON (Alliance News) - Fastnet Oil & Gas PLC Wednesday said it has been granted government approval to enter the first extension period of the Foum Assaka petroleum agreement, offshore Morocco.
The exploration and production company, with activities in Africa and the Celtic Sea, said the extension period extends the licence for 30 months until the end of June 2016, with the commitment to drill one exploration well at the site.
The company said that it expects to begin drilling the site during the first half of 2014 and that on receipt of all regulatory approvals and completion of an agreement with SK Innovation, Fastnet will be carrying through its share of drilling costs for the initial Foum Assaka well and in any follow-up appraisal well in the event of a discovery.
Kosmos started well planning for the FA-1 offshore Moroccan block in November and announced in October that it had reached a farm-out agreement for its portion of the permit with BP PLC.
BP holds a 35.1% interest, Kosmos Energy holds a 39.9% interest and Fastnet's subsidiary Pathfinder Hydrocarbon Ventures Limited holds a 12.5% interest in the site in the Agadir Basin offshore Morocco.
Fastnet Oil & Gas shares were up 1.0% to 12.50 pence Wednesday.
By Tom McIvor; tommcivor@alliancenews.com; @TomMcIvor1
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