LONDON – Sterling Energy (AIM: SEY) has issued an update on activities in its Ambilobe and Ampasindava blocks offshore Madagascar.
The company and its partners received ministerial and presidential approval last October to extend the current phase of both production-sharing contracts (PSCs) to July 2016.
These approvals have now been formally published in the Official Gazette of Madagascar, the final step in the approval process.
The Ambilobe PSC, awarded in 2004, is in Phase 2 of the exploration period. All minimum work commitments have been completed for the current phase.
Sterling operates in partnership with Pura Vida Mauritius. Planning continues for a 3D seismic program which is expected to start next month.
The Ampasindava PSC, awarded in 2004, is in Phase 3 of the exploration period. Here ExxonMobil has a 70% operated interest, with Sterling holding the remaining 30%.
Sterling’s executive chairman Alastair Beardsall, said: “Work continues on understanding the subsurface potential of these two very large, undrilled exploration areas.’’