Sierra Leone said on Thursday it had signed a petroleum license agreement with Nigeria‑based ​Marginal Energy Limited, granting the company offshore exploration ‌and production rights as the government seeks to revive interest in its under‑explored upstream sector.

The licence, signed through the ​Petroleum Directorate of Sierra Leone (PDSL), covers offshore ​blocks G‑145, G‑146, G‑147, G‑160 and G‑161, spanning ⁠about 6,800 square kilometres, according to a government ​statement.

Marginal Energy, a Nigerian independent, has committed to ​a seismic and drilling programme with exploration spending expected to exceed $225 million.

Under the agreement, the state will hold a 10% ​carried interest in oil projects and 5% in ​gas during exploration and development, with an option to acquire an ‌additional ⁠participating interest on a paid basis of up to 9% once production begins.

The deal was signed at the Invest in African Energy conference in Paris, ​where Sierra ​Leone has been ⁠promoting offshore licensing opportunities to international investors.

Sierra Leone is preparing a new ​offshore licensing round using fresh seismic data ​to ⁠rekindle exploration interest in its frontier basin.

Sierra Leone President Julius Maada Bio said the agreement reflected the government’s ⁠commitment ​to developing petroleum resources while ​delivering national benefits, according to the statement.

REUTERS