SOMALIA: Puntland says Oil Drilling Commences in Dharor Valley [Photos]

Bosaso (RBC) Puntland semi-autonomous state officials and the Africa Oil Corporration on Monday announced the spudding of the Shabeel-1 well on the Dharor Block in Bari region of Puntland, northern east Somalia.
The announcement came as large prepared ceremony held in Dharor valley late Monday where African Oil Corporation and Puntland authorities gathered to open on drilling process.
The drilling of oil wells is handled by,  an operator agency, Horn Petroleum Corporation, which is currently preparing to drill ahead to a total planned maximum depth of 3800 meters in two places Shabeel-1 and Shabeel North-1 in the same valley .
Puntland president Abdirahman Mohamed Farole said they were expecting potential oil volumes of over 300 million barrels of recoverable oil from the two wells after the exploration operation completes.

Africa Oil Corporration on Monday announced the spudding of the Shabeel-1 well on the Dharor Block in Bari region of Puntland, northern east Somalia.

“This is the first time to test oil in this country. We hope it is for all Somalis” Frole said in his speech at Dharor valley.
David Grellman,  Horn President and CEO said that the commencement of drilling in the Dharor Valley block is a major milestone in the evaluation of the oil potential of Northern Somalia.

The drilling of oil wells is handled by, an operator agency, Horn Petroleum Corporation

“We have had very strong support from the Puntland regional government and the local communities who are all keen to see development resume in the region after prolonged periods of internal strife. These wells are the first to be drilled into the deep areas of the rift basins and will be key to unlocking the hydrocarbon potential of this unexplored prospective trend.” Grellman added.

It is supposed to drill ahead to a total planned maximum depth of 3800 meters in two places Shabeel-1 and Shabeel North-1 in the same valley .

Africa Oil Corporation is a Canadian oil and gas company with assets in Kenya, Ethiopia and Mali.
According to press release from the company it will receive 51% equity interest through this operation.

Puntland president Abdirahman Mohamed Farole said they were expecting potential oil volumes of over 300 million barrels of recoverable oil.

Puntland is a regional state under Somalia federal government but the drilling of oil came as growing tensions between the country’s interim government and Puntland on the oil exploration activities arose last year.
None of transitional government officials attended yesterday’s ceremony held in Dharor on Monday.

David Grellman, Horn President and CEO said that the commencement of drilling in the Dharor Valley block is a major milestone in the evaluation of the oil potential of Northern Somalia.

On the other side many of Somalia parliament members are more doubtful about Puntland’s deal with foreign company.

RBC Radio