(TIMES) Minerals Act to be repealed

Minerals Act to be repealed
By Business Reporter

THE bill to repeal and replace the Minerals Exploration and Production Act of 1985 will be tabled in Parliament during the current quarter, Mines and Minerals Development minister Kalombo Mwansa has said. The repealing of the Act is part of the preparator process before the Government publishes invitations to interested companies wishing to bid for prospecting of oil and gas to determine the quantities and type in various areas.

Dr Mwansa said the repealing and replacement of the Act would provide for two separate licenses for prospecting and production of oil and gas. Dr Mwansa, who was speaking when he officiated at the national petroleum development seminar in Lusaka yesterday said the repeal and replacement of the Act would also provide for stronger legal provisions on environmental protection.

“The preparatory work also involves strengthening our institutional framework for regulating the oil and gas industry before inviting tenders from private petroleum exploration companies.

This work will be done in the first quarter of 2008 because the country is determined to benefit from the oil and gas industry, in the event that detailed petroleum exploration work produces positive results,”the minister said

Dr Mwansa also said the Government had made significant progress in the exploration for oil and gas in Northern, Eastern and Western provinces saying the results of the microbial analyses of samples collected from the provinces were very encouraging.

Soil samples collected from Kabompo, Chavuma and Zambezi districts proved positive for oil and gas for many of the places visited.

Out of the 11 samples collected in August 2005, nine tested positive for oil and two for gas. In a follow up study in July 2006, 31 soil samples were collected and 12 tested positive for oil while six for gas.

Dr Mwansa said the Geological Survey Department would this year extend the microbial survey to Kafue basin in Southern Province and the Bangweulu block in Luapula Province.

At the same meeting, Norwegian ambassador to Zambia Tore Gjos commended the Government for the decision to revise the petroleum Act of 1985.