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Rabat – Gas drilling and production are to commence in 2021, according to the Director of Morocco’s Hydrocarbons and Mines Office (ONHYM) Amina Benkhadera.
Initial evaluations found that the Lixus offshore area, on Morocco’s northern coastline of Lareche, contains significant gas reservoirs Benkhadera told a Moroccan television channel on January 10.
Exploration drilling unveiled a gas reservoir in the Anchois-2 well, stretched over six areas with the thickness ranging from 8 to 30 meters each.
Morocco’s ONHYM and Chariot Oil hold drilling rights in the region, with Chariot Oil securing 75% of revenues and Morocco 25%.
Drilling operations commenced in December 2021, have since reached a depth of 2,513 meters.
The Moroccan mining agency in collaboration with Chariot Oil will conduct further evaluations before making a final decision on the scale of their investment.
Benkhadera estimates that gas from the Anchois-2 well can cover electricity-generating activities in Kenitra (including its industrial zone), Mohammedia, and Tahadrat Grids in the first phase.
Following the news of the significant gas discovery, Chariot Oil’s share prices rose by 48% on January 14.
The company’s statement to the press indicated that the gas discovery exceeded initial expectations. A Chariot Oil official called the discovery “transformational” for the oil group.
Gas reservoirs at the Anchois-2 well are almost twice the amount found in the Anchois-1 well, located in the same area, according to the company’s press release.
ONYHM’s contract with Chariot Oil is part of Morocco’s large-scale strategy to privatize the energy sector.
With legislation becoming more business-friendly, the prospects for on-and offshore hydrocarbon exploration are becoming increasingly attractive for international investors.
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