Range Resources's partner abandons Somalian joint-venture

Oil explorer Range Resources said its joint venture partner Africa Energy has informed Somalian authorities of its intention to withdraw production sharing agreements (PSAs) related to the Nugaal Block and the Dharoor Block.

Citing uncertainty over the current political climate in the region, especially in respect of the disagreement between the central government and the regional authorities of Puntland, Africa Energy has abandoned the project, Range said.

“Whilst disappointed with this outcome, Range acknowledges the political uncertainties that have existed within the country, the state and the region over the recent years, preventing the joint venture from conducting the activities required under the terms of the PSAs,” the company said in a statement.

Range shares were up 1.81% to 0.713p at 11:14 on Tuesday.