The Gambian government has announced that, the British Petroleum oil company has agreed to pay 29.3 million dollars as outstanding commitment to drill an exploratory oil well in the country’s offshore A1 block, which the company was given two years ago.

Recall in July 2020, BP reportedly informed the country’s Ministry of Petroleum that it would not be able to drill a well in the A1 block due to a change in its cooperate strategy towards carbon energy.

According to the government spokesperson Ebrima Sankareh, BP broke its obligations by failing to drill the well before the two-year period of exploration which was from 30th July 2019 to 29th July 2021.

In the license terms, unfulfilled obligations by BP will see the petroleum giant paying the government of the Gambia the difference between the agreed work commitment and the performed work commitment.