Kenya: Simba farms down Block 2A

Indian-owned Essel Group Middle East has reached a definitive farmout agreement with Simba Energy to take 60% in Block 2A. Essel has agreed to fund 100% of exploration expenses for the drilling of two wells on the block. The agreement has already been approved by the Kenyan government. Simba and Essel now intend to finalise a seismic contract to start work early in 2016, to acquire some 500 line km of 2D data. Essel has agreed to invest $100m, and a first well is planned for 2016. Essel’s Gagan Goel will join the Simba board as vice-chairman.