Invictus Signs a Second Gas to Power MoU from Untested Zimbabwean Asset - Africa’s premier report on the oil, gas and energy landscape.

Invictus Signs a Second Gas to Power MoU from Untested Zimbabwean Asset

MoUs are statements of wishes and the company still has to prove economic commerciality of the Mukuyu wells with flow rates…

Australian minnow, Invictus Energy, has signed a second Memorandum of Understanding for sale of gas from its hydrocarbon asset onshore Zimbabwe.

The deal to provide natural gas for a 50MW Gas-to-power project for Eureka Mine, one of Zimbabwe’s largest gold mines, comes three months after an updated MoU with expanded mandate was signed for Mbuyu Energy, a Zimbabwean consortium led by IPP developer Tatanga Energy, a deal which envisages delivery of up to 1,000MW of electricity, if consummated, “with demand for an estimated 1.4Trillion cubic feet of natural gas”, Invictus claims.

Invictus says it finished 2023 by declaring dual discoveries during in its Mukuyu-2 drilling campaign, in what it described as a transformative year for the Company and its shareholders.

But MoUs are more of statements of wishes and Invictus still has to prove economic commerciality of the Mukuyu wells by running Drill Stem Tests (DSTs) which will show flow rates and the deliverability of the reservoirs.

Invictus  has signaled it is awaiting Petroleum Production Share Agreement (PPSA) with the Republic of Zimbabwe,  and has been engaging the responsible cabinet level Ministers, but its recent statements also indicate there’s much more to be done to reach commerciality: “The upcoming working programme includes a well test at Mukuyu-2, preparation for three dimensional (3D) seismic over the Mukuyu gas field and preparing long lead items for a new high impact exploration well, the location of which will be determined following full interpretation of the acquired CB23 infill seismic survey programme”..

 

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