$84 Million5 Nov 2019 14:25
Sound Energy to sell the extracted gas to Tendrara at ONEE
November 1, 2019
It is indeed gas extracted in Morocco. British firm Sound Energy PLC has announced the signing of a memorandum of understanding for the sale to the National Office of Electricity and Drinking Water (ONEE) of natural gas from the Tendrara concession, in the Oriental.
Sound Energy, however, added in a statement this week on its website that a "detailed agreement on the sale of gas is still being negotiated", stating that the goal is to reach the signing of a definitive contract for the sale of gas. 'here the end of 2019'.
"This agreement covers the first 0.5 billion cubic meters per year - approximately 48.4 million cubic feet per day (bw / d) - of Tendrara and the payment of any production above that which is to be included in the final contract for the sale of gas, "stresses Sound.
Sound will also benefit from a fixed price for a minimum annual volume of 0.3 billion cubic meters per year (approximately 29 million cubic feet per day).
The same source said that in the first year it will generate revenues of US $ 84 million, with a fixed price designed to provide greater certainty as to the financing required for the connection infrastructure.
Sound also pointed out that it sold the gas from its Oriental concession after two new wells failed to achieve commercial gas production rates.
Sound Energy PLC operates three areas in the Oriental region, namely Tendrara, Grand Tendrara and the Anoual permit where it holds a 47.5% stake, Schlumberger 27.5%, and the National Office. hydrocarbons and mines (ONHYM) 25%.
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