News

July 29, 2010

Cove Energy Signs Up For Kenya Deepwater Exploration

Cove Energy has already aligned itself with the emerging exploration hotspot of East Africa, where earlier this year it was a junior partner in the deepwater Windjammer gas strike offshore Mozambique. Now the AIM-quoted explorer has joined Windjammer operator Anadarko Petroleum in another deepwater venture off Africa’s east coast, this time taking on equity in five blocks offshore Kenya.

Cove has agreed to pay Dynamic Energy Exploration & Production Corporation (DEPCO) US$15.5 million – of which US$10.5 million will be in cash with the remainder in Cove shares - for a 15 per cent interest in five contiguous deepwater blocks, L5, L7, L11A & B and L12, which together cover more than 30,500 sq km.  Anadarko operates the acreage with a 70 per cent interest, with DEPCO and Cove now holding 15 per cent each.

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