Federal Government of Somalia enters into an agreement with Multi-Client seismic survey company Spectrum ASA

Asad Cabdullahi MataanBy Asad Cabdullahi Mataan

The East Africa region has been emerging as a major new frontier in the oil and gas industry for some time. The news that Somalia has opened itself up to exploration is a further indication that the region is aware of the potential hydrocarbon resources that is available.

In this context, the Ministry of Petroleum and Mineral Resources is pleased to announce that the Federal Government of Somalia entered into an agreement today with the Multi-Client seismic survey company Spectrum ASA, during a signing ceremony in Mogadishu. The agreement allows Spectrum to acquire approximately 28,000 km of long offset 2D seismic data offshore south Somalia in order to image subsurface structures. The survey will focus on Shell blocks and create extensive data needed by Somalia and international oil/gas companies.

The new acquisition is intended to complement 20,000 km of existing seismic that was acquired in 2014. These seismic surveys will allow the in-depth study of hydrocarbon prospectivity offshore Somalia, which lies in close proximity to major discoveries on the East African margin.

The Multi-Client model described within the agreement ensures that the government will receive the acquired data to help map the hydrocarbon resource potential at no cost. With the acquired data, Spectrum ASA will use its global marketing reach to raise interest and awareness amongst the oil and gas industry.

At the signing ceremony, the Ministry of Petroleum and Mineral Resources, His Excellency Mohamed Mukhtar Ibrahim, said that “this historic seismic data agreement will be the resumption of the exploration programme of the hydrocarbon reserves of our country, which will be a turning point for the economic development of our nation.”

Mohamed Aden, Minister of Finance who is also the Chair of the Financial Governance Committee commended the process of drafting this agreement.

His Excellency Omar Abdirashid A. Sharmarke, Prime Minister of the Federal Republic of Somalia who concluded the event said “Seismic data can lead to good decision-making and guided strategy.”

Source SMPMR