BP joins Serica in Namibia

Serica Energy said the Namibian government had given the thumbs up to a farm-in deal with BP.

The firm said the Namibian Minister of Mines and Energy had consented to the assignment by Serica of a 30% interest in its Luderitz Basin Licence 0047.

Under the terms of the farm-in, BP has agreed to earn a 30% interest in the licence by meeting the full cost of a 3D seismic survey over an area of up to 4,150 square kilometres.

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The deal will leave Serica with a 55% share in the licence.

"Both Serica and BP have shown significant commitment to the exploration efforts taking place offshore Namibia and we welcome the support and assistance which has been given by the Ministry to enable joint operations to proceed so quickly, smoothly and efficiently," said Chairman Tony Craven Walker.

BP also has an option to acquire a further 37.5% of the licence from Serica by meeting the full cost of drilling and testing an exploration well to the Barremian level.