Story by Owen Mandovha
GOVERNMENT has signed a landmark production agreement with Invictus Energy as the oil and gas project is showing significant progress, while a gas-electricity plant is set for construction in Guruve.
The Petroleum Production Sharing Agreement establishes a robust and comprehensive framework that provides certainty to all stakeholders, which includes the government and Invictus Energy during the life cycle of the project from exploration to commercialisation.
Just to bring you up to date with the project, Invictus Energy drilled two exploratory wells in 2022 and 2023, that is Mukuyu one and two, and the results came out positive, which means that there were recognisable deposits of oil and gas.
Based on these results, Invictus Energy will construct a gas-to-energy plant as proof of concept before it drills another exploratory well in the second half of the year, which clearly shows that the project is on course to fruition.
“We are going to do another drilling for the Musumi well in the second half of the year to further explore the basin. Already we have fantastic results from the seismic survey and exploratory drilling from the first two wells, which are satisfactory, and the upcoming drilling, some 20 kilometres, gives us more drilling options and results which will be used to determine commercial production,” Invictus Energy Chief Executive Officer, Mr Scott Mcmillan said.
The Minister of Finance, Economic Development and Investment Promotion, Professor Mthuli Ncube, said this landmark development signifies a key milestone to economic growth.
“This marks a major milestone for the economy and the agreement illustrates non-fiscal and fiscal incentives for the investor, but also creates a pedestal for the revolution of the economy,” he said.
Mines and Mining Development Minister, Dr Polite Kambamura, said the mega project is proof that the mining sector is open for business based on the success of this project.
“This is one project that indicates that the sector is lucrative to investors and the agreement illustrates that the project is progressing well,” he said.
Zimbabwe’s potential energy revolution started in 2018 when Invictus Energy began exploration for oil and gas, and fast forward almost seven years later, the country is on the edge of a major economic transformation once commercial drilling begins.
