20100830
reuters

MONROVIA (Reuters) - Chevron Corp has signed a deal with Liberia to explore for oil and gas in three deepwater blocks off the West African country's coast, an official in the president's office said.

The exploratory work, which has been submitted to parliament for approval, is expected to begin in the fourth quarter of this year and will last three years, the official said on Monday.

Liberia is slowly recovering from nearly 15 years of conflict that only ended in 2003. Prospects for tapping into oil were boosted last year when a consortium led by Anadarko Petroleum Corp made a find in Sierra Leone, near Liberia's border.

"We are delighted to welcome Chevron as a partner for Liberia to explore out oil and gas assets," Liberian presidential press secretary Cyrus Badio said on Monday.

"Along with its involvement, Chevron will bring the latest technologies, best practices in transparency and efficiencies and an excellent record of community and social responsibility."

No further details were given on the deal.

The gradual return to peace has led to mining and agriculture companies launching projects worth billions of dollars in Liberia, but its development remains fragile and elections are due next year.

President Ellen Johnson Sirleaf, who came to power in 2006, is likely to stand for re-election.

She has been praised for restoring stability and encouraging investors, which include ArcelorMittal and the world's biggest miner BHP Billiton, though critics say she has failed to crack down on corruption.