1. Exploration opportunities within the Mozambique Rovuma Basin
Arsenio Mabote - Chairman INP

2. Introduction to Mozambique
Location: South-eastern Africa
Land area: approximately 800,000 Km2
Coastline: Approximately 2,700 Km
Onshore sedimentary area: 290,122 Km2
Offshore sedimentary area: 282,227 Km2
Population: ( INE)
Climate: Sub-tropical to tropical
Capital: Maputo
Over 60 Rivers & Lakes
Official Language: Portuguese
Natural Resources: Hydropower, natural gas, coal, minerals, raw wood, agriculture
Export: prawn, cashew, sugar, tea, coconut oil, cotton
Currency: Metical (MZM)
PIB per capita: US$ (1998)
PIB growth: 9% (1999)
MOZAMBIQUE
MAPUTO
INP_ Instituto Nacional de Petróleos

3. Mozambique 2nd License Round – Rovuma Basin
The Rovuma Basin is about 400 km long and 160 km wide (250 by 100 miles).
The Rovuma Basin extends from the port of Nacala in to Southern Tanzania.
The basin is located both onshore and offshore and within Mozambique covers over 30,000 sq.km (12,000 sq. miles).
For the purposes of the bidding round the Rovuma basin has been divided into seven areas, one area onshore and six areas offshore

4. Mozambique 2nd License Round – Rovuma Basin
Over 30,000 sq km
Under explored
Water depths from 0 to >2,500m
Deep water never licensed

5. Rovuma Basin Well Data Old Offshore Seismic Data Onshore Seismic Data
Modern Offshore Seismic Data
Gravity / Aero-magnetic Data
Satellite Data

6. Rovuma Technical Data
All Technical Data available for the bidding round:
Data Rooms
Landmark Project
SMT Kingdom Project
Data Package to include:
Information CD (Petroleum Law & Prospectivity Posters)
Country Overview Report
Digital Well Data
Digital Seismic Data
Field Work / Field Visits

7. Rovuma Basin Exploration History
< Some fieldwork in 1960’s
CGG aero-magnetic survey
Geco offshore 2D spec. seismic survey
Esso/Shell, JV Rovuma Basin
Esso/Shell, onshore seismic, grav, mag
Esso/Shell, Mocimboa 1 well
Esso/Shell, relinquish licence
ENH, shallow water seismic survey
Lonropet, Rovuma PSA (1st offshore licence)
Lonropet, Aero-magnetic survey
Lonropet, Geological field work
Continued...

8. Rovuma Basin Exploration History
Lonropet, Onshore relinquished
Lonropet, Offshore 2D seismic survey
Lonropet, Energy Africa farmin 30% interest
Lonropet, Geological field work
Lonropet, Geological field work
Lonropet, Interpretation and Analysis
Lonropet, PSA Relinquished
Mozambique 2nd Licensing Round

9. Well Ties Mocimboa 1 - Esso / Shell 11/18/2018 7:33 PM
Mocimboa-1: the only well drilled in the Mozambican part of the basin, drilled onshore by Esso to a TD of 3,493m in 1986 with strong gas shows, and possibly condensate in Albian sands (fan complex).

10. Well Ties Mnazi Bay 1- Agip 11/18/2018 7:33 PM
DST 4 Flowed Gas at 393,800 m3/day
Mnazi Bay-1: drilled in the Tanzanian side of the Rovuma basin just north of the Mozambican border by Agip in Tested gas rates up to 14 mmcf/d from Oligocene sands of the Rovuma Delta Complex, with porosities of 16 to 24% and excellent permeabilities.
Lukuledi-1: drilled in Tanzania by Texaco in 1990 in the northwestern part of the Rovuma Basin. Encountered good quality porous and permeable Permo-Triassic Karoo clastic sediments (average porosity 22% and permeability of several darcies). Confirmed the presence of Middle-Upper Jurassic reservoir quality marine shoreline sandstones of the Mtumbei Formation, with porosities exceeding 20% and good permeabilities.

11. Onshore Seismic Data

12. Reprocessed – Onshore Seismic Data

13. Lonropet Seismic Program
Acquired in 1998
3,600 Km 2D Seismic Data
Data shot and processed for Lonropet by Western Geophysical

16. Field Work Program Review of previous work
Seismic to surface geology ties
Seek possible source rocks
Seek possible reservoir rocks
Seek hydrocarbon seeps

17. Review of previous work - Flores circa 1960
Field Work, 1960
Old Field Maps
Old Reports
Help to locate samples
Seep on Montipuez River ?
Florence
Mtwara Tar Sands

18. Seismic to Surface Geology Ties

19. Rovuma - Outcrops

20. Field Work Summary
Sampled potential source rocks within the Cretaceous.
Sampled good quality reservoir rocks with high porosity
Sampled several oil seeps
Sampled gas seeps
Discovered Jurassic
sediments within the
Rovuma

21. Structural Elements Northern Area Southern Area Rovuma Delta Ibo High
Palma Embayment

22. Interpretation Overview
Tertiary Delta
Cabo Delgado
Ibo High
Pemba
Ibo North
Ibo Central
Ibo South

23. Play Types: Ibo High Area

25. Ibo North Prospect
GRV of 133 billion m3 assuming a thickness of 400m of Karroo sediments
Net to Gross of 20%
Porosity of 18%
Water saturation of 30%
Water depths of m
Depth to crest, 2300m
Four way dip closure (418km2) with 1100m of vertical relief
Triassic to early Jurassic fluvio-deltaic channel and sheet sands

26. Interpretation Overview
Tertiary Delta
Cabo Delgado
Ibo High
Pemba
Ibo North
Ibo Central
Ibo South

27. Play Types: Tertiary Delta Area

28. Play Types: Tertiary Delta Area

29. Play Types: Tertiary Delta Area

30. Play Types: Tertiary Delta Area

31. Play Fairways Rovuma Delta Ibo High Tertiary deltaic sands
Reservoirs and seals
Tertiary deltaic sands
Seals
Tertiary marine shales
Source
Jurassic and Cretaceous shale
Ibo High
Reservoirs
Karroo, Jurassic & Cretaceous
Seals
Karroo intraformation shale
Transgressive Jurassic and Cretaceous shales
Source
Karroo shale
Middle to Upper Jurassic Palma
Embayment and Rovuma Basin shale

32. Exploration Potential
Leads & DHI Map
Tertiary Delta Sector
Cabo Delgado, sub marine fan sand
Sub Thrust Play
Backwall Anticline
Fore-thrust Compressional Lead
Imbriacte Structures
Vanizi Lead
Ibo High Sector
Eastern Flank, Turbidite Fan Sands
Aptian Lead
Reactivation Features
Cretaceous Reefs
Southern Sector
Half Graben Lead

33. Technical Summary
Initial exploration of the Rovuma Basin has shown it to be a multi-play and multiple prospect area with direct HCI’s
Exploration in the Rovuma is high risk but high reward
The most outstanding features identified are the “Tertiary Delta” in the north and the “Ibo High” horst trend in the south
Source and Reservoir rocks have now been sampled and identified within the Rovuma Basin
The Rovuma Basin has the potential to contain a world-class hydrocarbon accumulation

34. Legal Framework

35. Framework conditions Core Elements of new regulatory structure:
Petroleum Law 3/2001
Petroleum Regulations 2004
New Model Exploration and Production Concession Contract
Legend
Administrative law
Contract law
INP_ Instituto Nacional de Petróleos

36. Framework conditions
System approach moving from traditional contract based system to a modernized EPCC system regulating relationship between State and commercial entities:
Contract
Law
Admin
Law
Risk
Service
Contract
Production
Sharing
Contract
Exploration
Production
Concession
Contract
Concession/
Licensing
Contract
Increased reliance in new EPCC based system on legislation rather than contract clauses
INP_ Instituto Nacional de Petróleos

37. Organisational structure
Petroleum law the legal foundation for the governance structure of petroleum activities clarifying roles and interests:
INP
Regulator
Resource owner
Commercial Interest

38. Mozambique offers good exploration opportunities:
FINAL REMARKS
Mozambique offers good exploration opportunities:
Good prospective acreage available
Favourable legal, regulatory and fiscal framework
Adequate infrastructure for natural gas transmission;
Political stability
Licensing Round to be announced, 15th of July 2005.

39. Thank you for your attention