GPB Global Resources B.V. Begins Exploring For Oil In Ethiopia

GPB Global Resources B.V. is a financial company based out of North Holland, the Netherlands. It’s an international conglomerate that participates in the oil and natural gas, minerals, and other natural resources projects. It is active around the world with a focus on South America, Africa, and the Middle East.

It explores for and acquires oil and natural gas. The minerals GPB Global Resources B.V. explores for are precious gems such as diamonds and gold. It offers financial services to governments and government-owned companies that are in the natural resources industry. This includes financing infrastructure projects in emerging countries. It also offers consultation services to other companies in the industry. Learn More about GPB Global Resources at Owler.

One of the developing countries GPB Global Resources B.V. is active in is Ethiopia. It has invested around $60 million to explore for oil in the northeastern region of the country. The Ethiopian government gave its approval to explore for oil for seven years and produce any it finds for 25 years.

It is exploring for oil by conducting surveys and drilling test wells. These tests are taking place in a 42,000 square kilometer area in the Afar region. The area includes East Africa’s Rift Valley, where oil has been found in other countries such as Uganda, Yemen, and Kenya.

Ethiopia is hoping that oil can be found so that it can offset its trade deficit. According to the International Monetary Fund, Ethiopia’s trade deficit climbed from $8.5 billion in the previous year to $8.9 billion this year. Four trillion cubic feet of natural gas has been found in Ethiopia, but none of it has been extracted.

Executive Director Sergey Tagashov of GPB Global Resources B.V. stated that it’s possible there won’t be enough oil and natural gas found to justify building a major pipeline to export it. However, he felt that even if that were the case enough would be found to break even by selling it domestically. Connect: