Gulfsands Petroleum Plc

Gulfsands Petroleum Plc

SC - Gulfsands Petroleum Plc


2nd Floor, 6 Duke Street, St James’ Square

 +44 020 7434 60 60

The Oilbarrel View

Gulfsands Petroleum has had a rocky few years after the explosion of brutal civil war in Syria forced its flagship asset, the oil rich Block 26, into force majeure. This left the company, which had been throwing off cash from its high performing oilfields as well as some legacy interests in the US, into a scramble to regroup and diversify, which it has done very effectively, adding acreage in Tunisia, Morocco and Colombia. In Morocco, the company acquired Caithness Petroleum subsidiary Cabre Maroc for US$19 million, gaining low cost shallow gas discoveries in the Rharb Centre permit plus significant exploration upside in the adjacent Rharb Sud, Fes and Taounate permits. A multi-well drilling campaign in 2013-2014 will kick off in September 2013, with the intention of fast-tracking any discoveries to move quickly into production and revenues. In Tunisia the company holds a 70 per cent interest in the onshore Chorbane permit and 40 per cent of the Kerkouane and Pantellaria joint ventures offshore Tunisia and Italy.  The move into Colombia is welcome as it takes the company out of the political hotspots of North Africa, instead positioning Gulfsands in a country that is enjoying an investment renaissance. The company won the Llanos Area 50 in the Llanos Basin and Putumayo Area 14 in the Caguan Putumayo Basin in the heavily subscribed Ronda 2012 bid round.