Mozambique Strikes Key Oil Deals with Chinese Firm

Speaking at the signing ceremony, Mozambican Minister of Mineral Resources and Energy Carlos Zacarias said the deals mark the conclusion of a process that began in November 2021 with the launch of the sixth public tender for the concession of exploration and production areas.

"By signing these contracts, we embark on a journey that will have a lasting impact on economic relations between Mozambique and China in a global energy landscape," said the minister.

According to CNOOC's official website, "its wholly owned subsidiaries have entered into petroleum exploration and production concession contracts with the Ministry of Mineral Resources and Energy of Mozambique and Empresa Nacional de Hidrocarbonetos for 5 offshore blocks in Mozambique."

Zacarias called on the parties to work together and ensure that cooperation produces prosperity, sustainability and a better future for the people.

He said this milestone is part of the government's strategy to attract more investment and increase awareness of the geological potential of the country's sedimentary basins.

"After the successive inspection of the contracts, CNOOC will be able to carry out the necessary oil operations and carry out the research and work program that includes seismic acquisition and drilling of boreholes and deep waters, which could lead to discoveries of more oil resources," said Zacarias.

With the implementation of these contracts, it is expected that specialized manpower will be hired for the first exploration phase, as well as the acquisition of goods and services, training of national technicians, and institutional capacity building of Mozambican entities linked to the oil sector, said the minister.

According to CNOOC's statement, the total area of the blocks is approximately 29,000 square km, with water depths from 500 to 2,500 meters. The first stage of the exploration will last four years.

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