Petroleum Africa
Find us on: 
Friday, April 24, 2015
Sterling Energy is looking for recognition from Cameroonian authorities that its force majeure declaration on its Ntem concession issued in H1 2014 is valid. Sterling Cameroon, a wholly owned subsidiary of Sterling Energy, holds a 100% working interest in, and is operator of the Ntem Concession.
Following the drilling of Bamboo-1, an assessment of remaining prospectivity of the Ntem Concession led to the conclusion that the area of greatest potential lay in an area subject to overlapping maritime border claims by Cameroon and Equatorial Guinea. As a result, in May 2014 the operator of the Ntem Concession notified Société Nationale des Hydrocarbures (SNH) of the JV’s declaration of force majeure pending formal resolution of the border claims.
SNH however contends that the dispute between Cameroon and Equatorial Guinea does not constitute a force majeure situation. SNH advised that ‘Cameroon does not recognize that any situation of force majeure exists in the Ntem Permit’ and has refused to formally recognize the declaration.
On April 22 SNH issued written notice that it considers the First Renewal Period of the Ntem Concession to have expired on April 22 and the Ntem Concession to have lapsed. Sterling believes that, in accordance with the terms of the Ntem Concession, it’s declaration of force majeure in May 2014 is valid. As such, the First Renewal Period has been suspended since then and therefore has not expired. In the event force majeure is lifted, approximately 10 months remain in the First Renewal Period.
Eskil Jersing, chief executive of Sterling said: “Sterling is committed to working collaboratively with SNH and the Ministry of Industry, Mines and Technological Development of Cameroon to determine the forward plan for the Ntem Concession given the declaration of force majeure and the notice from the Ministry. We will update the market as appropriate in due course.”
" alt="First LNG Realized at the Greater Tortue Ahmeyim Project">
" alt="United Energy Acquires Western Desert Producer APEX">
" alt="Baker Hughes Announces Major Gas Technology Orders for Venture Global LNG">
" alt="ReconAfrica: Naingopo Results Demonstrate a Working Petroleum System">
" alt="Tullow Highlights 2025 Operational Plans in Ghana">
" alt="TotalEnergies to Supply 1.5 TWh to STMicroelectronics in France Over 15 years">
" alt="Rockhopper Reaches Final Settlement with United on Egypt’s Abu Sennan Concession">
" alt="Oil & Gas Crucial for African Growth: AEC Calls for Industry Support to Defend African Market">
