PGS Signs Revised Exploration Agreement with Sao Tome

Petroleum Geo-Services has revised its exploration agreement with Sao Tome and Principe. PSG and oil minister Rafael Branco signed the deal in Sao Tome on Tuesday. Details of the agreement were not disclosed. Branco said that the new agreement opened the way for sale of offshore oil blocks in Sao Tome's exclusive offshore area, as well as in an area overlapped by Nigeria. Sao Tome oil officials said the accord stemmed from President Fradique de Menezes' decision to renegotiate contracts he believed were unsatisfactory.

Sao Tome signed a revised agreement with ExxonMobil on seismic studies last week and is also renegotiating a deal with Chronme Energy Corporation.