Israel’s NewMed Energy has signed agreements with Morocco’s National Office of Hydrocarbons and Mines (ONHYM) and Adarco Energy for the exploration and production of offshore gas and oil in the Southern Moroccan city of Boujdour.
Formerly known as Delek Drilling, NewMed Energy announced the news on Tuesday, saying that the agreements are part of the “performance of natural gas and/or oil exploration and production activities in the Boujdour Atlantique exploration license, which is located off the coast of Morocco in the Atlantic Ocean.”
NewMed Energy and Adarco Energy are each set to hold 37.5% of the interests in the license, while ONHYM will have the remaining 25%, “in accordance with standard regulation in Morocco.”
The agreements grant the three parties the right to explore hydrocarbons in the area of the Boujdour Atlantique License for a period of eight years, “which may be extended in the event of discovery,” indicated the statement.
ALSO READ: ONHYM Signs 5 New Deals to Boost Nigeria and Morocco Pipeline Implementation
CEO of NewMed Energy Yossi Abu said: “From one day to the next, we are expanding our international operations and becoming a global body in every respect. We identified enormous potential in Morocco.”
Describing the partnership as an “important milestone,” Director of Adarco Energy Harry Murphy said that his company is “delighted to be entering the Moroccan natural gas exploration.”
Abu indicated that the agreement is part of the oil group’s efforts to expand its footprint in the East Mediterranean region and North Africa, as well as diversifying its portfolio and shifting towards renewable energy and green hydrogen.
“Morocco is the next destination both for the discovery of new gas reserves and for the promotion of renewable energies,” Abu told Israeli news outlet Walla! last month.
SOURCE: Morocco news
