AIM-listed exploration company Petrel Resources has announced a production sharing agreement in Jordan.
The deal covers the East Safawi Block, which adjoins a producing gas field at Risha and neighbouring oil producing blocks in Syria.
Under the terms of such agreements in Jordan, the contractor receives 60% of oil production - or gas equivalent - up to 10,000 barrels daily, with a sliding scale to a 35% share of production over 100,000 barrels daily oil equivalent.
The agreement allows for a three-year first phase of exploration. Petrel says drilling is expected to take place in late 2008 or early 2009.
