Tanzania gas operator Aminex PLC (Aminex) and Solo oil plc have announced that they are not proceeding with the earlier farm out deal Bowleven PLC .
Solo Oil had announce earlier in November, 2015 that it had reached agreement with the operator Aminex plc to farmout a 12.5% net working interest in the Ruvuma Petroleum Sharing Agreement (Ruvuma PSA) to Aminex and Bowlevens Plc.
The back-to back agreement was designed to see Bowleven plc, join the Ruvuma PSA joint venture with a 50% net working interest.
However, in a statement today, Solo oil said a mutually agreeable work programme between the parties and the Tanzania Petroleum Development Corporation could not be agreed and as a result the parties will not now close the transaction announced in December 2015.
“The recent signing of the Kiliwani North GSA allows the partnership with Aminex to seek alternative ways to develop our highly prospective Ruvuma acreage. We are therefore pleased for the time being to retain our existing working interest in the Ruvuma PSA where the partnership is planning to recomplete the Ntorya-1 discovery for early production and drill the Ntorya-2 appraisal well,” Solo Chief Executive Neil Ritson said in a statement.