Anadarko, Cove to Explore in Northern Mozambique After Gas Find

Anadarko Petroleum Corp. (APC) and Cove Energy Plc (COV) will turn their attention to the northern waters of Mozambique after finding as much as 30 trillion cubic feet of gas off the coast of the East African nation to date.

The partners, which include Mitsui & Co and Bharat Petroleum Corp., completed the Barquentine-4 appraisal well, which found 525 feet (160 meters) of natural gas, Anadarko said today in a statement. The venture has completed the appraisal of the Windjammer-Lagosta-Barquentine-Camarao fields, which was renamed the Prosperidade area.

“We have now bookended over 30 kilometers (18.6 miles) of proven gas fairway,” Cove Chief Executive Officer John Craven said in a separate statement. “We can now look forward to new high-impact exploration drilling in the northern section of the prolific Area 1 Rovuma offshore block.”

Ophir Energy Plc (OPHR) and Premier Oil Plc (PMO), both London-based explorers, are hoping that gas fields discovered in Mozambique and Tanzania extend into their license areas off East Africa. PTT Exploration & Production Pcl and Royal Dutch Shell Plc have both offered to buy Cove for its offshore gas discoveries, which could be big enough to supply liquefied natural gas to Asia.

BG Group Plc (BG/) and Eni SpA last month made the latest gas discoveries off Tanzania and Mozambique, bringing the region’s total resource base to more than 80 trillion cubic feet, sufficient to supply the world for more than eight months.

Anadarko and Cove will move one of the two rigs operated in Mozambique to drill the Atum and Golfinho prospects in the northern part of Area 1.

To contact the reporters on this story: Fred Katerere in Maputo at fkaterere@bloomberg.net Eduard Gismatullin in London at egismatullin@bloomberg.net

To contact the editor responsible for this story: Amanda Jordan at ajordan11@bloomberg.net

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