Zenith Energy Ltd. (“Zenith” or the “Company”) (LSE:ZEN; OSE:ZENA-ME), the listed international oil & gas production company, is pleased to announce that it has successfully pre-qualified in the 2020 Marginal Field Bid Round (“2020 Bid Round”), organised by the Nigerian Department of Petroleum Resources (“DPR”).
As announced on June 16, 2020, the Company is participating in the 2020 Bid Round in the capacity of technical and financial partner to a Nigerian registered oil and gas company.
Participation in the 2020 Bid Round entails a process commencing with the achievement of pre-qualification by companies deemed to have the necessary technical and financial capabilities to participate and duly registered in Nigeria to carry out hydrocarbon production and exploration activities by DPR, followed by submission of a commercial and technical bid for evaluation under a number of criteria by the Honourable Minister of Petroleum Resources (“HMPR”). It is concluded with the potential assignment of a Marginal Field once all the necessary formalities have taken place and final approval from the President of Nigeria, in accordance with the Petroleum Act (1969), is obtained.
Andrea Cattaneo, Chief Executive Officer, commented:
“We are very pleased to have successfully pre-qualified for the 2020 Bid Round with our Nigerian partner. This Bid Round represents an exceptionally rare opportunity for Zenith to acquire at highly advantageous terms, a large, underdeveloped, near-term production asset. This is especially the case in the current low oil price environment.
Further, the near-term production potential of certain assets is expected to facilitate the achievement of financing agreements to support the required acquisition and development costs necessary to restore commercial production from these assets.
I look forward with great enthusiasm to further progressing this opportunity.”
Source: Zenith Energy