Invictus Energy has provided an update on the activities of its 80% owned and operated Cabora Bassa Project in Zimbabwe.
Zimbabwe Investment Licence Renewed
The Company has received approval of its application to renew the investment licence from the Zimbabwe Investment and Development Authority (ZIDA). ZIDA is the investment promotion body set up to promote and facilitate both foreign direct investment and local investment in Zimbabwe. The investment licence provides formal recognition of the Company as a foreign investor in the country and enables access to a range of fiscal benefits and incentives.
SG 4571 Tenure Extension
Geo Associates, the Company’s 80% owned subsidiary and holder of Special Grant 4571 has received notification that its application to extend the tenure of the SG 4571 licence for a further three years has been granted, subject to Geo Associates appearing before the Mining Affairs Board to present an overview of the forward work programme. The presentation to the Mining Affairs Board by Geo Associates was scheduled for last week but has been deferred due to COVID and the enforced lockdown in the country. As a result of the meeting being deferred, the Mining Affairs Board has requested a soft copy of the presentation and confirmed that the formal presentation will occur at a future date.
Geo Associates can confirm that the soft copy presentation has been lodged with the Mining Affairs board and that it has fulfilled all of its work commitments for its first three year exploration period. A comprehensive work programme has been proposed for the second three year exploration period, including a commitment to drill a minimum of one exploration well. The Company will provide further updates as appropriate.
Cabora Bassa Project
The Cabora Bassa Project encompasses the Mzarabani Prospect, a multi-TCF and liquids rich conventional gas-condensate target, which is potentially the largest, undrilled seismically defined structure onshore Africa. The prospect is defined by a robust dataset acquired by Mobil in the early 1990s that includes seismic, gravity, aeromagnetic and geochemical data.
Quarterly Activities Report
Invictus has also announced a Quarterly Activities Report, in which the Company reports on farmout discussions relating to the Cabora Bassa Project. Invictus reports that the farmout process of the Cabora Bassa Project continues and active discussions with multiple parties are ongoing. The project has passed technical review/assessment and is undergoing commercial evaluation, above ground due diligence and detailed forward program costing (including drilling cost) with these parties. The completion of the commercial evaluation including in-country due diligence has been hampered by the COVID-19 travel and border restrictions in place in Zimbabwe and the wider region todate as well as the volatility in the oil market. The Company is working with the respective parties to finalise all the outstanding requirements as far as practical given the COVID related restrictions in place. The Company will provide further updates as per our continuous disclosure requirements.
Invictus has also published its Stockhead Oil & Gas Virtual Conference Presentation, which was given July 16 2020.
Source: Invictus Energy