Canada-based oil and gas company Zenith Energy has presented an offer to Benin for the award of an initial nine-year licence to operate Block-1 in the Sèmè oilfield, the country’s largest.
The block, which covers around 551 square kilometres, has estimated recoverable reserves (P2) of 22mn to 28mn barrels of oil and 428bn cubic feet of natural gas.
It has produced a reported 22mn barrels of oil to date, the Calgary-based company said, with the last production having taken place in 1998.
The historical recovery factor of 22% leaves significant margin for improvement of the recovery factor utilising modern completion techniques, horizontal drilling, and improved 3D seismic, it said.
“We are delighted to have submitted this offer for what is an extremely exciting opportunity in Benin, representing the largest and most prospective oilfield in the country,” chief executive Andrea Cattaneo said.
“Block-1 has significant untapped, independently assessed oil and gas reserves, a proven history of material oil production and existing field infrastructure. These key qualities make it a potentially highly enriching addition to our portfolio and fully satisfy the key criteria defining our growth strategy.”
If the offer is accepted, the company said it will restore and expand the productivity of Block-1. This includes a “rigorous” due diligence process.
Zenith Energy is listed on the London Stock Exchange (LSE) main market for listed securities (ZEN) and the Euronext Growth Market of the Oslo Stock Exchange (ZENA).