Financial Energy Review
by James Ikenna……….
Sierra Leone has provisionally awarded nine oil blocks to Innoson Oil and Gas, a subsidary of the Nigerian-based IVM Innoson Group pupolarly known as Innoson Motors. Sierra Leone also awarded 15 offshore blocks to Cluff Energy Africa, a joint venture between British oil tycoon Algy Cluff and billionaire Michael Spencer
These awards is coming amid a sharp drop in oil prices globally which has pushed oil companies recently to announced reduction in financial commitment to oil exploration and production segment of their oil businesses.
In the country’s previous licensing round in 2012, offshore blocks were awarded to 11 companies, all of which either chose not to renew their initial licenses during a slump in oil prices or had their contracts terminated for failing to meet minimum activity requirements. Five of Sierra Leone’s eight offshore wells made small-scale oil and gas discoveries before they were abandoned during 2015 and 2016.
