TotalFinaElf Extends Gabon Production Sharing Contract

TotalFinaElf

Elf Gabon and its partners have signed an exploration and production sharing contract (EPSC) with the Gabonese Republic. The agreement covers the onshore Rabi-Kounga oil field located in the Gamba region.

Until now, the facility was being developed under a concession license that was due to expire in 2007. The EPSC takes effect on January 1, 2003 for an initial ten-year period and is followed by two additional five-year terms. This new contract will enable investments of approximately $150 million to improve oil recovery at Rabi-Kounga. Today, the field produces roughly 55,000 barrels of oil per day.

Besides Elf Gabon (32.92%), other shareholders of the field include Elf Aquitaine (14.58%), Amerada Hess Production Gabon (10%) and Shell Gabon (42.5%, operator).

With this contract, Elf Gabon, a 58%-owned subsidiary of the TotalFinaElf Group, once again demonstrates its commitment to developing Gabon's economy and oil industry.


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