Yemen signs MoU's for exploration
Dec. 5, 1996 Yemen has signed three MoU's with US and British firms to set up oil exploration projects. Two memoranda of understanding were signed with the Kerr-McGee to explore for oil in sectors 50, 51 and 54 in the Shabwa governorate (former South Yemen. Another MoU was signed with the British company Dove to start oil exploration in sector number 53 in Shabwa governorate. The Yemeni government will contribute 25 % to the project cost in sector 53, starting at the beginning of the explorations. Yemen usually reaches agreements to contribute to the projects only once oil has been found.