Invictus Energy, the Australia Stock Exchange (ASX) listed firm exploring for oil and gas in the Muzarabani area, has selected its preferred contractor for the seismic data acquisition campaign in 2021.
Seismic acquisition refers to a process that uses reflected sound waves from the sub-surface to gather evidence or data that can be used to determine the existence of underground substances like oil, before drilling.
After completing a field reconnaissance programme and receiving submissions from multiple vendors, Invictus Energy then selected its preferred contractor for the seismic acquisition campaign to be undertaken in 2021.
Seismic surveys use sound waves to produce (computerized axial tomography (CAT Scans) of the earth’s sub-surface and can help locate groundwater, locations for landfills, effect of earthquake and existence of oil or gas.
“The company (Invictus Energy) will commence detailed planning post formal contract award to enable the acquisition campaign to commence following the conclusion of the rainy season.
“The company is planning to acquire a minimum of 400 line km of 2D seismic, which exceeds the work program obligations for the current (2nd) exploration period,” Invictus Energy said in a statement.
Following the approval of the Environmental Management Plan for the project, Invictus undertook a successful field reconnaissance program in the Cabora Basa Basin, which was concluded ahead of schedule.
Detailed traversing and mapping across the area was completed and identified the optimal acquisition routes.
This will now be followed by the first seismic campaign in over 30 years as well as test drilling in October.
This will be followed by a high impact multimillion dollar basin opening drilling campaign to test the petroleum potential of the Cabora Bassa Basin, encompassing much of Muzarabani.
Invictus has made significant progress towards commencing actual drilling for oil and gas in the Muzarabani prospective area, which could mark a major turning point for Zimbabwe.
The company has already received a non-binding offer for a farm-into the Cabora Bassa Project.
The proposed transaction is subject to completion of a series of other relevant approvals.
These entail further technical, legal and commercial due diligence by parties, approvals and agreements by requisite State authorities and execution of binding farm out agreement(s).
The Petroleum Exploration Development and Production Agreement (PEDPA) with the Government has also been reviewed and approved by an Inter-Ministerial Committee set up for it .
The PEDPA provides the framework for progression of the project through the exploration, appraisal, development and production phases and obligations and rights of each party over its lifecycle.
The Company is awaiting execution of the agreement. While Invictus has been working on Muzarabani for only a few years, such projects typically can take up to 10 years in the making.
The time it takes to develop oil or gas fields however depends on location, size and complexity of facilities, number of oil and gas wells needed and entails extensive studies and huge investments. Herald