Australia’s Origin Energy and South Africa’s Sasol have partnered up to explore for coalbed methane (CBM) in the central province of BotswanaAustralia’s Origin Energy and South Africa’s Sasol have partnered up to explore for coalbed methane (CBM) in the central province of Botswana
The 50:50 joint venture, named Kubu Energy Resources, has already signed an agreement with local exploration company Sekaname to acquire three prospecting licences – PL143/2010, PL135/2010 and PL136/2010 – covering an area of about 3000 square kilometres.
The first phase of planned exploration over the licences will involve an airborne magnetic survey, sampling of borehole cores and the drilling of test wells.
“Establishment of the Kubu joint venture is consistent with Origin’s strategy to target Greenfield resources close to markets at low entry prices,” Origin chief executive Grant King said.
“The delineation of a large [CBM] resource in Botswana could be used for power generation and liquid fuels production in southern Africa.”
Origin and Sasol will share the costs of the permit acquisitions and work program costs over the next two years and then, based on the success of the first exploration phase, will consider a more extensive exploration program in the country.
