Federal Government of Somalia declared ready for investment and open for business as it reformed and finalised Production Sharing Agreement with Coastline Exploration company.
The announcement come after President Hassan Sheikh Mohamud received senior officials from Coastline Exploration in the State House in the capital Mogadishu.
Mohamud Mashruuc, state minister of petroleum and mineral resources, said amendments have been made with in accordance of the legal advice from experts.
Furthermore, Coastline Explorations said President Hassan Sheikh sounded support for the company’s planned oil exploration programme.
“Somalia is open for business. President and the Federal Government of Somalia have approved CoastlineExploration’s Production Sharing Agreements and support our planned oil exploration programme,” it tweeted.
Meanwhile, the US-based oil firm has also paid $7 million signature bonus to the Central Bank and expect to pay many millions more dollars to Somalia by way of royalty payments, profit splits and income tax.