Online Reporter
Nqobile Bhebhe, Zimpapers Business Hub
INVESTOR confidence in Zimbabwe’s oil and gas sector continues to deepen after Invictus Energy’s flagship Cabora Bassa Project has been granted National Project Status (NPS), with terms of a Petroleum Production Sharing Agreement (PPSA) now agreed.
The twin approvals announced on Tuesday mark a decisive step towards commercial gas production and long-term value creation for both Zimbabwe and shareholders.
This comes barely a week after Invictus sealed a transformative partnership with Qatar-linked powerhouse, Al Mansour Holdings (AMH), a deal set to inject fresh momentum into Zimbabwe’s energy revolution.
The parties signed a binding Memorandum of Understanding and share subscription agreement in Harare, paving the way for AMH — led by His Highness Sheikh Mansour bin Jabor bin Jassim Al Thani — to acquire a 19,9 percent strategic equity stake in Invictus.
Under the agreement, AMH will mobilise up to US$500 million in future financing to bring the Cabora Bassa Project into commercial production.
The deal also birthed a new Africa-focused upstream player, Al Mansour Oil & Gas (AMOG), which will pursue producing and near-term development of oil and gas assets across the continent.
With NPS granted, the Cabora Bassa Project will now benefit from duty exemptions, fast-tracked permitting and streamlined access to infrastructure and services, giving it significant fiscal and non-fiscal advantages as it transitions towards the development phase.
National Project Status is reserved for projects of strategic importance to Zimbabwe’s economic growth and development.
Invictus managing director, Mr Scott Macmillan, said the developments mark “two pivotal milestones” for the company.
“Agreement of the PPSA terms and the granting of National Project Status represent two pivotal milestones for Invictus and the Cabora Bassa Project.
“The PPSA provides the stable and transparent framework required to progress development, while NPS delivers tangible fiscal benefits to reduce costs and accelerate execution,” he said in a communique.
“This recognition underscores the strategic importance of our discovery and the potential it holds to transform Zimbabwe’s energy landscape.
“These outcomes highlight the Government of Zimbabwe’s strong commitment to unlocking the country’s energy potential. We are grateful for their support and look forward to executing the PPSA and moving towards development of the Cabora Bassa Project.”
Finance, Economic Development and Investment Promotion Minister, Professor Mthuli Ncube, underscored the project’s national significance.
“The Government recognises the economic, energy security and social opportunity Cabora Bassa presents. We are pleased to be working closely with Invictus Energy through its recent strategic partnership with Al Mansour Holdings and to finalise the PPSA to ensure a transparent, fair and commercially sound agreement that benefits the people of our nation.”
Prof Ncube said the Government is committed to fostering a competitive and attractive investment environment, adding that: “We are delighted to partner with Invictus Energy as this landmark project advances towards development.”
Invictus, which is developing oil and gas assets in Mbire and Muzarabani districts, Mashonaland Central Province, commenced exploration in 2022 and has spent more than US$80 million on the Cabora Bassa Basin project.
It announced the discovery of condensate in the prospective area.
President Mnangagwa is on record saying the discovery of oil/gas in the country presented huge potential for economic growth, Zimbabwe’s petroleum industry, energy security, export generation, job creation and development of downstream industries, among others.
The company holds significant exploration rights in the Muzarabani District of the same province and is still in the process of evaluating the well-site of the successful oil/gas discoveries to determine the exact quantum of the resource available and negotiating with partners, who will extract the deposits from the ground.
