Otto Energy Ltd has received approval from the Tanzanian Government for the assignment of a 50 percent working interest in the Kilosa-Kilombero and Pangani Production Sharing Agreements.
The interest were assigned from joint venture partner, Swala Oil and Gas (Tanzania) Limited, after the PSA's were executed in February 2012. The interests will be held by Otto subsidiary, Otto Energy (Tanzania) Pty Ltd.
Work has commenced re-processing existing aero-magnetic data over the block and an airborne magnetic and gravity survey is planned to commence in July 2012.
Otto's Chief Executive Officer Mr. Gregor McNab said "Having now received the official approval of our entry into Tanzania, we look forward to progressing our work program activity in this exciting and emerging petroleum region."