Morocco-Sound Energy: Sidi Moktar Permits extended for 24 months

Moroccan Authorities have granted Sound Energy, the Moroccan focused upstream gas company, a 24-month extension to the initial period of the Sidi Moktar Permits, onshore Morocco.

The gas company announced the two-year extension in a press release, explaining the move was dictated by disruptions caused by Covid-19.

“Due to further disruption caused by the impact of the COVID-19 pandemic, during which the Company has been in regular dialogue with the regulatory authorities, L’Office National des Hydrocarbures et des Mines, ONHYM, has approved a 24 month extension to the initial period of the Petroleum Agreement in order for the Company to complete the committed work program,” the company said in a press release.

 

The permit, which was initially limited to two years and six months, has been extended until around October 2022, the press release said, adding that the work program commitments for the initial period remain unchanged.

 

“We are not alone in dealing with the disruptions brought about by the COVID-19 pandemic and we are pleased that ONHYM have signed an amendment to extend the initial period extension by 2 years in order to complete our exploration operations. We continue to look forward to unlocking the prize of the pre-salt potential that we believe exists in this area,” commented Mohammed Seghiri, Sound Energy’s Chief Operating Officer.

 

The Sidi Moktar Permits cover 4,712 square kilometers in the Essaouira basin, central Morocco.

 

The Company holds an operated 75% position in the permits with the remaining 25% held by ONHYM.