The Tanzanian government has given Otto Energy the go ahead to enter its fast-growing oil exploration market after approving the assignment of a 50 per cent working interest in the Kilosa-Kilombero and Pangani Production Sharing Agreements (PSA)
The interest were assigned from Otto’s joint venture partner Swala Oil and Gas (Tanzania) Limited, after the PSA’s were executed in February 2012.
Otto chief executive officer Gregor McNab said, “Having now received the official approval of our entry into Tanzania, we look forward to progressing our work programme activity in this exciting and emerging petroleum region.”
Otto subsidiary Otto Energy (Tanzania) Pty Ltd will hold the company’s interests in the East African country.
The group, which is listed on the Australian Securities Exchange (ASX), is principally known for its oil and gas exploration activities in the Philippines.
Work has already begun on re-processing existing aero-magnetic data over the Tanzanian block and an airborne magnetic and gravity survey has been scheduled to start in July 2012.
