Sound Energy and Moroccan Utility Extend Deadline for Tendrara Gas Deal Review

According to the Memorandum of Understanding relating to the sale of Tendrara natural gas via the Maghreb-Europe gas pipeline (GME), the conditions for implementation were to be examined within 90 days of its signing. But the two parties have just extended this deadline by 3 months, reports Challenge. In this agreement signed on November 30, Sound Energy has committed to supply 350 million cubic meters of natural gas to the Office for a period of ten years.

To read: Sound Energy Begins Construction on Moroccan Gas Facility in Tendrara

For the British company, the work of connection to the GME is progressing at a good pace. "The progress made on the various conditions over the past 90 days is encouraging for everyone, especially for local and international lenders who, in this regard, welcome the extension of the natural gas sales agreement. We are delighted that the partnership between the UK, Morocco, ONHYM and Sound Energy is working well," said Graham Lyon, chairman of the board of Sound Energy.

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The terms of the agreement remain unchanged, however. It was for Sound Energy to obtain the necessary authorizations and permits for the implementation of the gas infrastructure of phase 2 and for ONEE to have the final investment decision approved by the Moroccan authorities, after the adhesion of the partners. The agreement also provides that the British company will carry out drillings at the level of several wells and install a gas treatment unit.