Yaounde, Cameroon Africa(Cameroon News) – - Victoria Oil & Gas has finally secured the relevant licenses to flag off the development of the Logbaba gas field.
Victoria Oil and Gas Plc has announced that they have finally received a decree from the President of Cameroon for an exploitation license so as to flag off the development of the Logbaba gas and gas condensate field in Douala, Cameroon.
The license has been secured after a lot of focused efforts that were undertaken by the State oil and gas company, Societe National des Hydrocarbures, (“SNH”), the Ministry of Industry, Mines & Technology and the Offices of the President of Cameroon.
Rodeo Development Limited, (“RDL,”) a fully owned subsidiary of VOG, has announced that it has secured formal confirmation that Decree No 2011/112 had been sanctioned by President Paul Biya of the Republic of Cameroon, dated 29th April 2011, which gives them full rights for the exploitation of the Logbaba Concession as well as permission to recruit and RDL operator for the plant.
Oil and gas Plant
The exploitation rights for development will span across a total area of 20 sq km which was what VOG had applied and will be valid for a period of 25 years with a privilege to extend it by another 10 years.
In tandem to this, based on the terms of the Logbaba Concession Agreement that was entered on the 31st May 2001, SNH will also be having the privilege to take part in the Logbaba Concession, and will remit its share of development costs, under the following altered ownership structure: Victoria Oil and Gas 57%, RSM Production Corporation 38% and SNH 5%.
Kevin Foo, Chairman of VOG commented, “This is the news we have been waiting for. We have worked intensely and productively over many months with the Ministry of Industry, Mines & Technology, SNH and the offices of the President of Cameroon to make this happen. We welcome SNH as our partner and are pleased with its endorsement of the project. We now intend to deliver first gas to industrial customers in Douala in Q4 2011 and to build on our customer base.”
