The Gambia Government has launched a new bidding round for offshore Block A1 after BP terminated its license. 

BP had signed an agreement on Block A1 with the Ministry of Petroleum and Energy, in April 2019, and had consequently acquired 2D and 3D seismic data in the license. 

However in July 2020, BP informed the ministry that it would not be able to drill a well in the A1 Block due to a change in its corporate strategy towards low carbon energy. 

The government has launched a new bidding process for offshore Block A1.

Minister of energy and petroleum Fafa Sanyang said: “Our key objective in designing the licensing round is to ensure an attractive fiscal regime with low entry conditions for bidders as well as procurement process and participation rules.”

Bidders have four months to submit their offers, Kanni Touray, deputy commissioner of petroleum at the ministry told Africa Oil Week. 

She said the license will be for a maximum of 30 years, divided into three exploration periods. 

Meanwhile Australia-based explorer FAR Limited is on track to resume drilling at its exploration block in the fourth quarter of this year after operations were adversely affected due to the coronavirus pandemic.

FAR has contracted to use the Stena IceMAX drillship for the Bambo-1 exploration well, located in Block A2 offshore The Gambia. 

Three prospects have been identified in Bambo-1, with a total estimated recoverable, prospective resource of 1.118 billion barrels.

If successful, a discovery could result in a standalone development, according to FAR, and would result in The Gambia’s first oil production.