A senior TGS executive hopes that Madagascar’s suspended licensing round could be revived “soon”, writes Iain Esau.

The 44-block round in the Morondava basin was suspended on 15 February until further notice by Madagascar’s new Minister of Mines & Strategic Resources, Fidinarivo Ravokatra.

The acreage offering was due to be run by state hydrocarbons agency Omnis in partnership with Oslo-based TGS and China’s BGP, with additional data coming from Ion, CGG, Spectrum and UK-based Spec-Partners.

Eugenio Toraldo Serra, who handles government liaison activities for TGS in Africa, said: “Personally, I think the licensing round will start very soon.”

He was speaking to a small industry audience in London at what was originally planned to be an official round roadshow — following a similar event in Houston last week — which turned into presentations on data, prospectivity and the petroleum code.

Serra declined to elaborate on reasons for his optimism.

Another source suggested Madagascar’s newly elected President Andry Rajoelina is unlikely to change the existing petroleum code but wants to “stamp his authority” on the round — this is because he is familiar with the upstream oil and gas sector, having been head of state between 2002 and 2009.

Upstream was told last week by an Omnis executive that while Rajoelina intends to prioritise exploration and production, there was “talk of a new upstream policy”.

Despite significant no-shows from oil companies at this week’s event in London, a number of oil company executives did attend, including representatives from BP, CNOOC International, Inpex, Sasol and Perenco.

Other interested companies are thought to have included ExxonMobil, Cairn Energy, Tullow Oil and Aminex.

Under the original timetable announced in Cape Town last November, suitors were invited to submit bids for acreage mostly located off central Madagascar in the Mozambique Channel by 31 May, with awards envisaged before the end of August.

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Madagascar’s delayed round may return soon