LONDON, Oct 15 (Reuters) - Oil major BP has struck adeal with U.S.-based Kosmos Energy for a share in theexploration of three blocks off the coast of Morocco.
Modern technology has helped firms to discover huge new oiland gas fields over the last decade in regions that wereformerly overlooked, not least Africa's Atlantic coast.
Kosmos Energy, which specialises in exploration andproduction in frontier and emerging areas, said BP had acquireda non-operating interest in the Essaouira, Assaka and Tarhazouteblocks in Morocco's Agadir Basin.
Drilling will start in the first half of 2014, Kosmos ChiefExecutive Brian Maxted said in a statement.
Under the agreement, BP will fund Kosmos's share of the costof one exploration well in each of the three blocks and pay adisproportionate share of the cost in the event that a secondwell is drilled in any block.
BP declined to put a value on its investment.
"It is over 25,000 sq km of new area for us," said spokesmanRobert Wine. "It fits with our exploration strategy of lookingfor significant opportunities in new basins."
Morocco has attracted a growing number of companies inrecent years, including the second largest U.S. oil companyChevron, with the promise of a link to the energy-richgeological formations of west Africa.
The announcement sent the shares of Fastnet Oil & Gas, a junior partner in the Assaka block, up around 14percent by 1240 GMT. BP shares rose about 1.3 percent.
The agreement remains subject to Moroccan governmentapproval, Kosmos said. The U.S.-listed independent will keepabout a 30 percent share in each of the three blocks. BP willhave a 45 percent share in two of the blocks and a 26.3 percentshare in Assaka once the deal is closed.
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