PROJECT

Projects

Environmental & Social Review Summary

Project Number

31509

Company Name

Azonto Petroleum Ltd

Date ESRS Disclosed

Jan 17, 2012

Country

Cote D'Ivoire

Region

Africa

Last Updated Date

Dec 1, 2016

Environmental Category

A - Significant

Status

Completed

Previous Events

Approved : Mar 22, 2012
Signed : Mar 26, 2012
Invested : Mar 30, 2012

Sector

Oil and Gas Exploration

Industry

Metals and Mining

Department

Gbl Infrastructure & Natural Resources

Project Description

Rialto Energy is an oil and gas exploration and production company headquartered in London. The CI-202 block offshore Cote d’Ivoire is Rialto Energy’s (“Rialto” or the “Company”) key asset in which it has an 85% working interest and is also the operator. On CI-202, two main hubs (Gazelle and Hippo) have been identified based on previous drilling and 3D seismic. The block’s contingent resources on a 2C basis are estimated at 35.9 million barrels of oil (“mmbo”) and 355 billion cubic feet (“bcf”). The project consists of drilling 2 wells on the Gazelle area and one exploration well on a prospect in the Hippo cluster. A rig contract has been executed and long-lead items for this program are being acquired. The success of this appraisal and exploration drilling will allow the Company to make the final investment decision and proceed with the field development plan agreed with the Government of Cote d’Ivoire. Once developed, hydrocarbon production from the field, particularly gas from Gazelle, will help address significant shortage of gas supply currently existing and projected in order to serve the country’s power needs.

IFC’s proposed investment consists of an equity investment in the Company of up to $20 million coupled with a warrants package. IFC’s investment will help finance the Company’s drilling campaign, i.e. drilling the two appraisal wells in the Gazelle gas field area which is scheduled to continue for 120 days for the 3 wells (i.e. if the additional well is also drilled) and will commence in mid-February 2012.

Cote d’Ivoire’s power sector is dominated by gas-fueled plants (Azito and CIPREL) which provide majority of the power supply for the country. Rialto’s CI-202 block has significant gas resources complemented with oil resources. It is expected that the gas from Rialto’s CI-202 Block will supply the power plants.

Overview of IFC's Scope of Review

IFC’s environmental and social (“E&S”) review of the Rialto Energy Ltd (“Rialto” or the “Company”) project consisted of an appraisal visit conducted in November 2011. This visit was to assess the Company’s organizational capacity and commitment, their operations and to review the technical, health, safety, environmental, (“HSE”) and social information submitted by the Company and understand their plans and commitments for the future development of the block. During the appraisal, IFC team also held meetings with Rialto’s management in London and with the E&S consultants working on behalf of Rialto in Abidjan. The site visit included the CI-202 offshore block (currently, there are no installations or any other physical infrastructure on the block).

The review of key documentation included the Health, Safety, Environmental and Quality (“HSEQ) Management System manual, the HSEQ policy statement, policies and procedures, the environmental impact assessment reports prepared for the seismic and drilling campaigns, the environmental audit report for the seismic exploration, draft bridging documents, management of change, emergency management response and the human resources manual among others.

E & S Project Categorization and Applicable Standard

Environmental and Social Mitigation Measures

Stakeholder Engagement

Client Documentation

File Name Actions
Rialto Energy ESAP.pdf