1. INP_ Instituto Nacional de Petróleo March, 15 – 19 th 2011 Rio de Janeiro, Brazil March, 15 – 19 th 2011 Rio de Janeiro, Brazil INSTITUTO NACIONAL DE PETROLEO - INP By: Inocência E. Maculuve Geologist e-mail: inocencia.maculuve@inp.gov.mz www.inp.gov.mz MOZAMBIQUE FEEDBACK TO NDR10

2. INP_ Instituto Nacional de Petróleo BACKGROUND NATIONAL ARCHIVE FOR PETROLEUM DATA – NAPD REPORTING STRUCTURE & FUNTIONS OF THE NAPD & RELATIONSHIP TO GOVERNMENT RELATIONSHIP TO GOVERNMENT LEGISLATION ISSUES EXPLORATION & PRODUCTION DATA OUTLINE

3. INP_ Instituto Nacional de Petróleo INTRODUCTION TO MOZAMBIQUE Location: South-eastern Africa Areal extent: approximately 800,000 Sq.km Coastline: Approximately 2,700 Km Onshore sedimentary area: 290,122 Sq.km Offshore sedimentary area: 282,227 Sq.km Population: 21.8 million (2009) Capital: Maputo (3 million people) Natural Resources: Hydropower, natural gas, coal, minerals, raw wood, agriculture Export: natural gas, prawn, cashew, sugar, tea, coconut oil and cotton President: Armando Emilio Guebuza Google

4. INP_ Instituto Nacional de Petróleo LEGAL FRAMEWORK

5. INP_ Instituto Nacional de Petróleo Petroleum law the legal foundation for the governance structure of petroleum activities clarifying roles and interests: Commercial Interest Resource owner Regulator MIREM LEGAL FRAMEWORK - PETROLEUM OPERATIONS

6. INP_ Instituto Nacional de Petróleo Core Elements of new Regulatory Structure: Petroleum Law 3/2001 -2001 Regulation for Petroleum Operations - (2004) New Model Exploration and Production Concession Contract (EPC) – 2005 New Fiscal Law on Petroleum Activities 12/2007: Activities 12/2007:  6 % for Gas  10 % for Oil Petroleum Law Legend Administrative law Contract law LEGAL & REGULATORY FRAMEWORK

7. INP_ Instituto Nacional de Petróleo PETROLEUM ACTIVITIES

8. INP_ Instituto Nacional de Petróleo MOZAMBIQUE SEDIMENTARY BASINS Rovuma Basin Rovuma Basin Mozambique Basin Mozambique Basin Maniamba Basin Maniamba Basin Middle Zambeze Basin Middle Zambeze Basin Lake Niassa Basin Lake Niassa Basin

9. INP_ Instituto Nacional de Petróleo MOZAMBIQUE BASIN (8) CONCESSION AREAS Concession Partners Pande/Temane (PSA) SASOL (100%) Pande/Temane (PPA) SASOL (70%), ENH (25%) & IFC (5%) 16 & 19 SASOL (50%), Petronas (35%) & ENH (15%) Area A SASOL Baia de Sofala SASOL (85%) & ENH (15%) M-10 SASOL (42.5%), Petronas (42.50%) & ENH (15%) Inhaminga DNO (95%), Harmattan (5%) Búzi PT Kalila (70%) & ENH (30%)

10. INP_ Instituto Nacional de Petróleo ConcessionPartners Area OnshoreAnadarko (35.7%), Artumas (15.3%) Maurel & Pron (24%), ENH (15%) & Cove Energy (10%) Area 1Anadarko (36.5%), Mitsui (20%), ENH (15%), BPRL (10%), Videocon (10%) & Cove Energy (8.5%) Area 4ENI (70%), ENH (10%), KOGAS (10%) & Galp Energia (10%) Area 2 & 5Statoil (90%) & ENH (10%) Area 3 & 6Petronas (90%) & ENH (10%) ROVUMA BASIN (5) CONCESSION AREAS

11. INP_ Instituto Nacional de Petróleo Mozambique Basin(8) Pande/Temane – SASOL Block 16 & 19 – SASOL Inhaminga – DNO Sofala Bay– SASOL M-10– SASOL Buzi – Busi Hydrocarbons Area A – SASOL Rovuma Basin(5) Area Onshore – Anadarko Area 1 – Anadarko Area 4 – Eni Area 2 & 5– StatoilHydro Area 3 & 6 – Petronas -11- CONCESSION AREAS

12. INP_ Instituto Nacional de Petróleo Data Wells Total of 125 wells (off / onshore) : 70 wells – wildcat 24 wells – production 31 wells – appraisal Seismic Approximately 114.000 km of 2D seismic (off / onshore) Approximately 15.000 Sq. km of 3D seismic (offshore). DATABASE

13. INP_ Instituto Nacional de Petróleo DATABASE Gas Discoveries Mozambique Basin 1961 – 1 st Discovery – Pande (2.46 TCF) 1962 – 2 nd Discovery – Buzi (1.07 TCF) 1967 – 3rd Discovery – Temane 2003 - 4th Discovery - Temane East 5th Discovery – Inhassoro 2008 – Technical Gas Discovery – Area 16&19 Rovuma Basin 2010/11 – 4 Deep water Gas Discoveries – Area 1 Oil shows – Area 1

14. INP_ Instituto Nacional de Petróleo 2 nd Licensing Round (Rovuma Basin) Jul 05- License Round Announced Nov 05- Clarification Meetings Jan 06 - Applications submitted 3 rd Licensing Round (Mozambique Basin) Dez 07- License Round Announced Aug 08- Clarification Meetings Jun 08 - Applications submitted 4 th Licensing Round (Onshore Basin) Nov 09- License Round Announced Jul 10- Clarification Meetings Jun 10 - Applications submitted MOZAMBIQUE LICENSING ROUNDS

15. INP_ Instituto Nacional de Petróleo NATURAL GAS PROJECT

16. INP_ Instituto Nacional de Petróleo CPFCPF TransmissionDistribution Campos  Sasol Petroleum Temane (SPT) 70%  Gov. Moç. 25% (ENH/CMH)  World Banc / IFC 5% CPF  Sasol Petroleum Temane (SPT)70%  Gov. Moç. 25% (Via ENH/CMH)  IFC 5% Pipeline (ROMPCO)  Sasol gas Holdings (50%)  Gov SA 25% (Via CEF/gas)  Gov. Moz. 25% ENH/CMG) ExplorationProductionComercialization Market  Sasol gas (external market)  Sasol gas local merket: Spring Lights gás (49%) Sasol Synfuels Sasol Oil - Tshwarisano 25% - LFB 75% Petrochimical Industry - Sasol MozambiqueSouth Africa ROMPCO: Republic of Mozambique Pipeline Investment Company INP (Regulator - Mozambique)NERSA (Regulator - RSA) NATURAL GAS PROJECT

17. INP_ Instituto Nacional de Petróleo MOZAMBIQUE – RSA NATURAL GAS VENTURE One Central gas Processing Facility (the “CPF”) One Central gas Processing Facility (the “CPF”) An 865 km- 26” diameter steel pipeline to Sasol’s coal-to-liquids An 865 km- 26” diameter steel pipeline to Sasol’s coal-to-liquids complex at Secunda in South Africa (531 km on Mozambican side) complex at Secunda in South Africa (531 km on Mozambican side) System capacity: 120 Mill GJ/year (3 billion cu.m/yr) System capacity: 120 Mill GJ/year (3 billion cu.m/yr) Increase of system capacity to 183 mGJ/year as per PDO approved in 2009 Increase of system capacity to 183 mGJ/year as per PDO approved in 2009 Production period of 25 years starting from January 2004 Production period of 25 years starting from January 2004 Market - Sasol’s petrochemical factories and conversion Market - Sasol’s petrochemical factories and conversion of the synthetic gas distribution system to natural gas of the synthetic gas distribution system to natural gas

18. INP_ Instituto Nacional de Petróleo Matola Gas Pipe GAS PIPELINE TEMANE – SECUNDA GAS PIPELINE TEMANE – SECUNDA

19. INP_ Instituto Nacional de Petróleo NATIONAL ARCHIVE FOR PETROLEUM DATA - NAPD

20. INP_ Instituto Nacional de Petróleo Ensure that data & information from petroleum activities is made available Develop a consistent knowledge base for petroleum activities NAPDPURPOSE NAPD PURPOSE

21. INP_ Instituto Nacional de Petróleo By gaining control of petroleum data and stimulate exploration activities By developing core skills locally for data management HOW TO ACHIVE THE PURPOSE?

22. INP_ Instituto Nacional de Petróleo Receive and integrate data into the database Compile hydrocarbon reserves and production data Update technology, equipment & standards used for data Management towards petroleum operations Make proposals of standards for reception & delivery of data Make public data available (Data room review) NAPD FUNCTIONS

23. INP_ Instituto Nacional de Petróleo Established in 1999 All data kept in a modern standard formatAll data kept in a modern standard format – IBM 3480 cartridges – IBM 3590/92 cartridges Database to track all seismic tapes Database for documents (reports, well information, logs, sepias, etc) Database for cores & cuttings Captured prospects and cultural data and stored in GIS database Integrated data base being finalized ACHIEVEMENTS

24. INP_ Instituto Nacional de Petróleo Completed the Transcription Project from IBM 3480/90 to IBM 3590 (back up) Backup room established & fully operational Created the standards for data & Information types Approved the license strategy New core storage to be finalized in March 2011 Digitize analogue data (65%) -24- AT PRESENT ACTIVITIES

25. INP_ Instituto Nacional de Petróleo Use of “modern” seismic tapestations: Use of “modern” seismic tapestations:  SEG adopted standard media(s) IBM 3480/3490E & IBM 3590 IBM 3480/3490E & IBM 3590 Exabyte 8mm Exabyte 8mm DLT 8000 20/40GB DLT 8000 20/40GB  Access Database  Data storage controlled Environmental parameters Environmental parameters  Stable internet TECHNOLOGY IT Systems SMT Kingdom Suite SMT Kingdom Suite Magma Magma GIS GIS AT PRESENT

26. INP_ Instituto Nacional de Petróleo CAPABILITIES CAPABILITIES Create income Data Storage & Management Produce Seismic Data Copies & Delivery Seismic Data Interpretation - 8 workstations available Produce Maps - GIS - GIS AT PRESENT

27. INP_ Instituto Nacional de Petróleo REPORTING STRUCTURE & FUNTIONS OF THE NAPD & RELATIONSHIP TO GOVERNMENT

28. INP_ Instituto Nacional de Petróleo REPORTING STRUCTURE & FUNTIONS OF THE NDR & RELATIONSHIP TO GOVERNMENT Ministry of Mineral Resources

29. INP_ Instituto Nacional de Petróleo INP ORGANIZATION Chairman Exploration Division Resource Assessment Data Centre Projects & Development Division Projects & Development Directorate Fiscal & Safety Directorate Legal Advisers Administrative & Financial Department Administrative & Patrimony Department Human Resource Department

30. INP_ Instituto Nacional de Petróleo LEGISLATION - RECORDS & REPORTS According to the Article 19 of the Petroleum Law: “All data obtained pursuant to any contract provided for under the Law 3/2001 is the property of the Mozambican State.” “All data obtained pursuant to any contract provided for under the Law 3/2001 is the property of the Mozambican State.”

31. INP_ Instituto Nacional de Petróleo EXPLORATION & PRODUCTION DATA

32. INP_ Instituto Nacional de Petróleo Reporting Requirements - Records and Reports The contracts state that the concessionaires shall provide: Records of its operations in the EPC Area Records of its operations in the EPC Area Available information Available information Data and reports Data and reports  Well logs,  Maps,  Magnetic tapes,  Core & cutting samples  Other geological and geophysical information Assessments Assessments EXPLORATION & PRODUCTION DATA

33. INP_ Instituto Nacional de Petróleo EXPLORATION & PRODUCTION DATA Procedures to Obtain Access to Data: Contact INP Contact INP Sign a Muster/Supplemental Agreements Sign a Muster/Supplemental Agreements Copy and delivery Copy and delivery Cost of Data depend on: Age Age Package Package Exclusive Spec seismic surveys Exclusive Spec seismic surveys

34. INP_ Instituto Nacional de Petróleo FUTURE PLANS Continue Data Loading & extend Data types Continue Data Loading & extend Data types Continue digital capture of petroleum data currently held in analogue Continue digital capture of petroleum data currently held in analogue form form Continue to develop in-house skills Continue to develop in-house skills Information Management System being strongly considered Information Management System being strongly considered Turn the NAPD as a reference in the region Turn the NAPD as a reference in the region

35. INP_ Instituto Nacional de Petróleo OBRIGADA PELA ATENÇÃO = THANK YOU FOR YOUR ATTENTION