Oyster Oil and Gas Ltd. announced early March that it has received Djibouti government’s approval to commence the Phase III of its exploration contract at the country’s Block 1. The Production Sharing Contract between the company and Djibouti stands for three years and is set end in February 2020.
According to Oil News Kenya, Oyster has undertaken extensive exploration activities across its four exploration blocks in Djibouti over the past 5 years. However, the main exploration focus has been on Block 1 since 2016.
Located in the southeast part of the country, the block is substantially onshore, but also includes the adjacent offshore acreage, and covers an area of 3,400 Km², Access Wire reported.
Additionally, results of the 2016 airborne gravity and magnetic survey conducted by Bridgeporth indicate that the target Mesozoic sedimentary basin, which outcrops in the southwest of Djibouti, extends across most of Block 1.
In January 2017, Oyster’s technical team, with support from Energy Ministry personnel, conducted scouting field trips across the large potential fields area to evaluate the scope for the next phase of exploration activities, including an onshore seismic campaign.