New PSA Signed [Archives:1998/08/Local News]

February 23 1998

The Ministry of Oil and Mineral Resources has signed a new production sharing agreement (PSA) on February 15th with an American based petroleum company, Petrotubos International Inc. The PSA was signed for the offshore Block 15, which is located in Mukallah, Hadhramaut and has an area of 13040 sq. km.
According to the company’s spokesman, Petrotubos’ management has extensive experience in every facet of the oil and gas industry, on shoe and offshore operations. It has acquired oil and gas concessions in various countries around the world.
Petrotubos will invest $ 25 million for exploration in the first and second phases. In the event of a commercial discover of a hydrocarbon, the company intends another $450 million for appraisal and development of geological structures.