Mozambique’s national oil company, Empresa Nacional de Hidrocarbonetos (ENH), is to receive $100 million aid from the government to finance research, production, distribution, commercialization and transportation of gas and fuel products in the country.
A statement from the Mineral Resources Ministry on Thursday said the deal was valid for three years.
“The contract-program will run between 2009-2011, it allows ENH to define the parameters in which the state will participate in the petroleum sector, fundamentally to increase EHN´s activities to boost research, production, processing, distribution, transportation and commercialization of hydrocarbons in partnership with local and foreign entities,” the statement said.
EHN Chief Executive Nelson Ocuane told APA that the agreement would help the company secure financing the tendering process of the company for fuel and gas projects.
ENH and foreign investors recently announced plans to spend US$1.425 billion in gas and oil exploration in Mozambique by 2011 and maximize Mozambique´s gas and oil potential of up to 15 trillion cubic feet.
The southern African state is encouraging foreign companies, who provide most of the funding, to participate in exploration particularly on the nation’s resource-rich central and northern regions.
In this regard, at least 14 foreign companies are active in Mozambique searching for gas and oil.
Source African Press Agency
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- Mozambique National Oil Company, Empresa Nacional De Hidrocarbonetos, national oil company of mozambique, empresa nacional de hidrocarbonetos home office, Empresa Nacional de Hidrocarbonetos Mocambique funding
