PetroNor E&P has provided an update regarding its A4 licence in The Gambia.

On 18 November 2022, PetroNor and its partner, The Gambia National Petroleum Corporation ('GNPC'), exercised rights to continue with the Petroleum, Exploration, Development and Production Licence Agreement ('PEPLA') for the A4 licence in The Gambia. The terms of the PEPLA comprised two phases of 18 months period in the Initial Exploration Period.

PetroNor has agreed with the Government of The Gambia to extend the first phase of the Initial Exploration Period from 18 months to 36 months. A reduced cost for rental, training and minimum work program has been agreed for the extended period.

At the end of the extended period by 13 November 2025, the Company will have the option to continue into the second phase of the Initial Exploration Period with a commitment to drill an exploration well or exit the agreement.

It remains the Company and GNPC’s strategy to form a strong partnership with others to drill the identified prospects. The results of the nearby exploration program in Guinea-Bissau focused on a similar play concept expected to be drilled during 2024 are awaited with interest.

The Gambia

PetroNor E&P's A4 license is located within the same proven play trend as Senegal and the Sangomar field, a play which is expected to extend southward into The Gambia.

In November 2022, the company was awarded a new 30-year lease for the A4 licence with terms based on the newly developed Petroleum, Exploration and Production Licence Agreement – PEPLA model. A proportion of prior sunk costs associated with Block A4 have been carried into the new agreement. The first three-year period of the licence has been split into two 18 month periods. The first period involves an extensive work program with a drill or drop decision in May 2024. 

PetroNor has licenced additional 3D PSDM seismic data (TGS Jaan 3D) to give an enhanced regional perspective and to better understand recent well results both successes and failures in this part of the MSGBC Basin. PetroNor is seeking a partner to join the company in drilling one exploration well in this highly attractive acreage 40kms to the South of the Sangomar fieldin Senegal. The key prospects in A4 are the ‘Lamia-South’ prospect (net mean prospective recoverable resource 295mmbo) and the ‘Rosewood’ prospect (net mean prospective recoverable resource 350 mmbo), both with commercial volumes and attractive probability of success. PetroNor considers Lamia South to be a genuine analogue for the Sangomar Field (unlike recent wells in adjacent acreage). PetroNor aims to participate in any future well at an equity level of 30-50 per cent and hopes to drill in 2024 upon entering the second phase of the first exploration period.

KeyFacts Energy: Petronor Gambia country profile