ZCCM IH has m signed an agreement with a Nigerian petroleum firm to explore for oil on two exploration blocks in Zambia.
Blocks 17 and 27 represent Oranto’s first investment in Zambia.
Under the agreement, signed this week, Oranto Petroleum will hold a 90 percent stake and ZCCM Investment Holdings will control a 10 percent share, on behalf of the Zambian Government.
The company will be required to conduct geological and geophysical studies for first two 2-year sub-periods.
Current oil exploration activities in Zambia are done by Tullow Oil and Bowleven.
Zambia does not produce oil, but the government says soil samples sent to European laboratories have shown good traces of crude.
Though only marginal finds have been discovered, the under-explored market shares basins with Tanzania to the northeast and Angola to the west-both of which have hosted mega oil and gas discoveries.
“Oranto Petroleum is committed to an aggressive work programme to increase the levels of prospectivity in one of the world’s last true frontier markets,” it said in a statement.
“Our specialty at Oranto Petroleum is discovering the vast potential of Africa’s frontier oil and gas markets, and we are very pleased to add Zambia to our extensive portfolio. We are committed to developing Zambia into an oil and gas producing nation, as we have many times with other countries on the continent.”
I hate the selling of Zambia by PF; Giving Nigerians 90% smells corruption; Instead of giving corrupt Nigerians; we should have given 49% to Angolans while we remained with 51%; Look at the environmental damage done in the Niger Delta in Nigeria;
Yes, the wholesale of our country continues. By the time Lungu and friends are done Sam is will be owned by foreigners. Zambians will have nothing and no status in their ancestral home. As Roy Clark so aptly wrote in his satire, we will be known as “natives”.
Amidst all this madness, I am always shocked to see people who view these issues purely in political lines. When PF perpetrate their madness and people speak out, some people start attacking HH and UPND. compatriots, this isn’t about PF vs UPND. It’s about our country and its future. It’s about what heritage ate going to leave for our posterity. Don’t be so short sighted that you can’t see beyond the illicit benefits you receive from a corrupt system.
So it’s very true that ZAMBIA is now for sale just to PAY the debt the country owe China.
Wrong move ba Kasolo
ZCCM-IH has not given the people of Zambia whose shares they hold on their behalf, any confindence. More so their failure to answer to the demands of the international market for minerals that are not being declared from the copper mines such as cobalt leaves a sad story for the people. 10% is a culture of ” Uku lyamo fye” as opposed to being productive or taking a larger responsibility in the economic drivers of the country.
This should have been at the bare minimum a 50-50 Joint Venture. 10% is what we give our very best of the best consultants as fees.
Why subject the owner who in this case are the smart people of the Zambian Enterprise to a 10% derivative??? Parliament needs to be ratifying such deals with a 60% vote.
What’s so special about Oranto that they should be given a lion’s share??? I need the FIC to follow up on this right away!!!
Zambia Is Greater Than Any Single One Of Us ~ B R Mumba, Sr.
This is absurd Nigerians in their now country do not explore oil it is Shell, Tullow and such doing exploration …how do you explain this deal??? Ba Lungu twapapata nasheniko ama deals please have pity on your country. We all know that Zambia doesn’t have commercially viable reserves of oil and that is a fact. This is another Nigeria scam
IF IT SMELLS LIKE A RAT THEN IT IS A RAT.
NIGERIANS HAVE A BAD REPUTATION ALL OVER THE WORLD.
WHAT IS DIFFERENT ABOUT THIS COMPANY?
I hope this company is Dangote, if not, I hope it is like Dangote, that illustrious mega son of Africa.
Can ZCCM-IH also brief us on Kapiri Glass, did the feasibility study prove viability?
@JourneyMan; agree with you 100%; Nigerians are so corrupt; even most of their prophets; see how attractive Zambia is to these Nigerians who like to externalise offering to Nigeria; not everyone who critisises these bad PF policies are UPND cadres; PF cadres can’t see these;
Rupiah Banda.
The Naija’s want their money back, as a lot was spent financing Ba Jona Chagwa’s first campaign.
ZAMBIA YAGWA MONGA CHAGWA!
For a moment, I thought that the man in the picture was the former president K.K.
My eyes are bleeding right now. How on earth can we go so low to offer 90% ownership to a foreign entity. We might as well not venture into oil prospecting as at now. Let it be for the future generation. If the oil is there, it is not rotting, just like copper which is still there. Enough is enough of exploiting the future generation’s source of revenue. People must protest and not allow the partnership to materialize.
Magafuli put it spot-on: he’d ratther leave the resources in the the ground for future and more intelligent Generations to extract than impoverish Tanzania today or mortgage the Country !!
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someone must sue ZCCM IH to reveal what is going on – CAN THEY REALLY SELL WITHOUT PARLIAMENTARY APPROVAL VIA IDC OR WHATEVER !!!! ZAMBIA WAKE UP – THE COUNTRY IS MORTGAGED !!!!
90% is a too much for someone who is only bringing machines and know-how to the table while we are in full possession of the resources they’re after.
We may not be an oil producing country but what is stopping us from getting machinery and experts to conduct the exploration ourselves? When will we start thinking big and taking things in our own hands instead of selling out everything?
Anyway, let them sell of their country, us in Barotseland we shall remain with our interests. Further, it does not make any sense at all to look for oil deposits in Northern and Eastern when none of the neigbouring countries there have any proven oil deposits. From North Western and Western provinces, you can see some of the oil rigs in Angola. The terrain too is the same sandy. As to why those machavillian muppets keep on looking for oil where there is none vexes me deeply.
Oil in Angola is in Kabinda estuary, which is on the other side of DRC. I just wonder how you can see the oil rigs.
The Headline should have said partnering and not selling. I don’t understand why we can have 10% from day one. Normally farm-in/out deals are staged. Poor ZCCM-IH.
One geologist told me that there is a lot of oil in Western Province. But the quality is not good. The quality is like used oil.
Never ever trust Nigerians they’re known worldwide as scammers .
90% is way too much. At least 45% would have been ideal. Anyways, Prince Arthur Eze is a reputable business man with a reputable track record in the Oil and Gas Industry in Africa. *******
This institution together with other companies were set up for participation of business development for Zambian citizens so I don’t know what is in stock for future generations.
Haha Lungu and his administration never seem to amaze me. He’s a typical post colonial era leader, he only knows how to borrow and sell his resources, but if he was really smart he’d invest in his own resources from all these loans he keeps having and gain long term. We need leaders that have a western business mentality and get rid of all these dinosaurs, they are all useless.
And at this stage of uncertainty, exploration, with each party in the partnership having to foot the bill of the exploration expense (at par with the percentage interest they hold), ZCCM thought it wise to take a small bit (which might also be a free carry-interest in the licences but not paying for costs). Zambia should not want to pay anything at exploration stage.. too risky….things will change in Zambia favour (I guess) once oil or gas or both are discovered.
Zambia is being raped on a daily basis, now the Nigerians have also discovered there is a loose woman in the neigbourhood and have decided they also want their share.