Upstream exploration and production firm Heritage Oil has been awarded further acreage in Tanzania through the Kyela production and sharing agreement (PSA).
The Kyela PSA has an area of 1,934 square kilometres but has never been previously targeted for hydrocarbon exploration.
However, Heritage remains optimistic: "gravity data over the area suggests the presence of a sedimentary section of sufficient thickness to allow for the generation of oil."
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Heritage has a 100% interest in the project and is the sole operator.
"Following on from the award of the Rukwa PSA last year we are pleased to have been awarded further acreage in a prospective East African rift basin in Tanzania which could share geological similarities to the Albert Basin of Uganda," said Chief Executive Officer Tony Buckingham.
"Our expertise, both technical and operational, on rift basins will provide Heritage with a key advantage in assessing the prospectivity of both new awards," he said.
Shares nudged 0.45% higher to 201.7p in early trading on Wednesday.
BC
-
Bitcoin price one of the most-asked questions on Alexa - here's how to buy the cryptocurrencyAccording to figures from Amazon, which cover September 2023 to November 2024, pop star Taylor Swift and Bitcoin were named among the most popular Alexa queries of 2024
-
Investing for children this Christmas – five ideasIt might not come with a shiny ribbon, but an investment fund could be the gift that keeps on giving. We share five ideas if you are investing for children this Christmas.
