LONDON (Alliance News) – The company BHP Billiton PLC quoted on the London and Johannesburg stock exchanges said on Thursday that it won two foreign oil licenses in Canada after submitting an offer of USD 625 million during the six-year license period.
Occupational health and safety is successfully submitting an offer for 100% shares in blocks 8 and 12 of the sea pits stranded in eastern Canada. The new Canada Newfoundland & Labrador Offshore Petroleum Board will issue licenses in December and will become effective in January.
Exploration concessions will be carried out for the first six years and the health and safety offer in this period will amount to USD 625 million, which will cover the drilling and seismic work required by the exploration program presented in the offer.
The components FTSE 100 and Top 40 committed to invest a minimum of 157 million USD under a license agreement.
In the year ending in June, OSH generated 14.75 billion USD of pre-tax profit from income of 43.64 billion USD.
"This border opportunity has a lot of potential in terms of oil resources, which we identified through our study on world oil reserves in 2016. And it is in a low-risk country with competitive fiscal conditions," said Steve Pastor, President BHP Petroleum operation.
"This opportunity allows us to focus on the exploration of conventional oil and use our global development in deep waters and operational knowledge," added Pastor.
In the initial phase of the search for health and safety, he will invest USD 140 million in capital expenditures up to 2021. This is within the current budget for exploration.
If OSH would like to go beyond this initial exploration phase, it is expected that a decision on further capital expenditure will be made with respect to the valuation hole in 2022.
Author: Ahren Lester; [email protected]
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