Geo Petroleum Limited, the company that is said to have made progress in the oil and gas exploration in block 31, which covers Luapula and Northern Provinces, has opted to remain mute when asked to confirm the progress made so far.
The company which was working with Tullow Zambia B.V on this project has already Incurred expenditure of US$4.8 million regarding exploration work.
From the results of the work done so far, Tullow Zambia believed that there was a heightened risk in conducting further exploration in block 31 stating that the depth of the basin was not deep enough for oil and gas generation and decided to transfer the majority interest to Geo Petroleum Limted in 2020.
When contacted exclusively to find out how far the company had gone with the oil and gas prospects, Geo Petroleum Limited country representative Dr. Sixtus Mulenga said, “When we are in a position to update, we will contact you and give you the update, we are not yet ready to talk about it at the moment.”
On Friday, March 19 2021, Minister of mines and minerals development Richard Musukwa announced that substantial progress had been made with regards to oil and gas exploration in blocks 31, 32, and 54 held by Geo Petroleum Limited, Mafula Energy Limited and Sargas Oil Limited respectively.
Musukwa said surveys covering a total line distance of 7,076 kilometers and an area of 20, 000 km were undertaken to determine the presence of geological basins for possible oil and gas accumulation.
This year 2021, Mines Minister Richard Musukwa stated that the company intends to commence the acquisition of seismic data and bathymetry survey data to help identify targets for oil exploratory wells for possible commercial discoveries of oil and gas.
Geo Petroleum has committed to undertake exploration work at an estimated cost of US$4.3 million from 2021 to 2024. This will involve conducting seismic data acquisition and slime hole drilling.
In addition, Geo Petroleum Limited also committed to spend at least US$10 million for drilling of an exploration well if the results for seismic data, slime-hole drilling and bathymetry surveys come out positive, read the statement from the mines ministry.
Zambia currently imports most of its oil and petroleum products from the gulf region and other finished products via South Africa and other neighboring countries. Petroleum imports constitute one of, if not the highest forex drainers in the Zambian economy.
