- Petroleum Production Sharing Agreement (“PPSA”) process for the Cabora Bassa Project has been completed
- PPSA expected to be formally executed in January
- Establishes a stable, transparent and internationally competitive legal and fiscal framework for the oil and gas industry in Zimbabwe
Invictus Energy Ltd (“Invictus” or the “Company”) is pleased to advise that the Petroleum Production Sharing Agreement (“PPSA”) process for the Cabora Bassa Project in Zimbabwe has been completed.
The PPSA is expected to be formally executed in January, providing the Company the pathway to commence the next phase of its planned work program.
Completion of the PPSA process represents a significant milestone for the Cabora Bassa Project and establishes a stable, transparent and internationally competitive legal and fiscal framework under which petroleum operations will be conducted.
With the PPSA expected to be executed in January, Invictus intends to progress its high-impact forward work program in the Cabora Bassa Basin, which includes the appraisal of the Mukuyu Gas Field, following the Mukuyu-1 and Mukuyu-2 gas-condensate discoveries; and drilling of the Musuma-1 exploration well, designed to unlock a significant new play in the eastern portion of the Cabora Bassa Basin.
The completion of the PPSA process is a critical enabler for ongoing investment, development planning and the advancement of exploration and appraisal activities across the Cabora Bassa Basin.
Invictus Managing Director Scott Macmillan commented:
“We are very pleased to have concluded the Petroleum Production Sharing Agreement process and to have a competitive and comprehensive framework in place to govern the future development of the Cabora Bassa Project.
With this milestone achieved, Invictus looks forward to continuing operations in the Cabora Bassa Basin through our planned high-impact work program, including the appraisal of the Mukuyu Gas Field and the drilling of the Musuma-1 exploration well to test a new play in the eastern portion of the basin.
“The conclusion of this process highlights the Government of Zimbabwe’s strong commitment to unlocking the country’s energy potential. We are grateful for their support and look forward to executing the PPSA and moving towards development of the Cabora Bassa Project.
The Honourable Minister of Finance Prof Mthuli Ncube commented:
“The Government of Zimbabwe recognises the economic and energy security opportunity Cabora Bassa presents.
“The Republic of Zimbabwe is pleased to have completed this important process to implement a stable and transparent legal and fiscal regime to govern the nascent oil and gas industry in the country that benefits investors and the people of our nation.
“This framework provides investors with confidence to invest in the sector, which we see playing an critical and strategic role in strengthening Zimbabwe’s energy security and supporting broader economic development.”
