WEST PERTH, Australia – Morocco’s Ministries of Energy and Finance have approved Galp Energia’s farm-in to the Tarfaya offshore block.
Galp Tangiers Petroleum will take a 50% operating interest with and Tangiers Petroleum will retain a 25% interest.
Tarfaya takes in eight exploration permits. Galp is committed to spending $40.5 million including up to $7.5 million in back costs reimbursable to Tangiers and the cost of one exploration well (TAO-1), subject to a cap, to be drilled in 2014.
The government has also prolonged by six months the block’s first extension period, giving the partners up to February 2015 to evaluate the well results before deciding whether to enter the second extension period.