The South African government has granted Australia’s Sunbird Energy an onshore gas exploration license for an additional 747.5 sq km in the Springbok Flats Basin
According to the company, the prospect in northern South Africa, that has been estimated to contain significant coal bed methane reserves, now gives Sunbird Energy exploration rights for more than 1,198 sq km.
Last year, Sunbird Energy applied for an extension of its exploration rights in the basin. It owns a 74 per cent interest in the area, while investment firm Umbono Capital holds the remaining 26 per cent stake.
The company’s managing director, Will Barker, said the license allowed the company to target exploration drilling in a highly prospective section of the basin.
The Springbok Flats is 160km long and 30km wide and has been estimated to contain up to 48.9bn cubic metres of gas reserves. A single coal zone, varying in thickness between three metres and nine metres, is also being developed.
Sunbird Energy said that it would also complete its drilling programme and contingent resources certification at the Mopane license area, located in the Limpopo Province of South Africa, by end of 2013.
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