In a signing ceremony in Nouakchott overnight, representatives of Woodside, its joint venturers, which include Australia’s Hardman Resources and Roc Oil, and the Islamic Republic of Mauritania formally agreed to the revised contracts for offshore zones A, B, C2 and C6.

The revised contracts reflect an agreement made by Woodside and the Mauritanian Government in March, which served to resolve a dispute over previous amendments to the original PSCs.

Woodside said the major elements of the resolution, reflected in the revised PSCs, are:

• Exploration periods are secured in line with previous arrangements;

• A Chinguetti project bonus of $100 million will be paid by the zone B joint venturers to the Mauritanian Government about 14 days after the revised PSC B is approved and receives gazettal;

• Fiscal incentives that will provide a greater share of revenue from the Chinguetti project to the Mauritanian Government during periods of high oil prices; and

• Establishment of an Environmental Commission, funded through a total annual payment of $1 million by the joint venturers during the life of production from the revised PSCs.

Woodside said the revised contracts established greater fiscal certainty and allowed increased cooperation between the joint venture and the government.

The revised PSCs will come into effect after their formal gazettal in the Official Journal in the Islamic Republic of Mauritania.